MANAGEMENT THEORY REVIEW - Articles on Management Subjects for Knowledge Revision and Updating by Management Executives ---by Dr. Narayana Rao, Professor (Retd.), NITIE - IIM Mumbai --- 4.55+ MILLION Page Views---
Global Top Blog for Management Theory---Management for Effectiveness, Efficiency and Excellence.
The word lean system was coined in the context of inventory held as work in process or progress by companies. Lean systems hold less inventory in comparison to bulk inventory systems. Toyota initiated the lean inventory or JIT inventory system. They made many modifications to their production system to develop a low inventory that delivered products at less cost at lower production batch quantities.
Now, we explain that lean enterprises deliver maximum performance and minimum resource consumption. A win win situation for the consumer, producer and therefore the society (economy).
The lean enterprise concept was developed by Toyota through a trial and error method to produce automobiles at low volume with high productivity. In Japan, others copied slowly as they learned about the system and implemented its practices. As Japanese companies started producing in various other countries, the practices started diffusing.
IMVP, a research study on automobile industry, codified the Japanese production and enterprise system into the concept of Lean Production System and Enterprise.
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PWC - Companies have scope to reduce their working capital
PWC's Annual Global Working Capital Study - 2018/19
1.3 trillion Euros can be released by global listed companies by improving working capital management.
The three items of working capital that need to be managed
Maintaining Youth of the Organization and Preventing Old Age
“Like people and plants, organizations have a life cycle. They have a green and supple youth, a time of flourishing strength, and a gnarled old age. But organizations differ from people and plants in that their cycle isn't even approximately predictable. An organization may go from youth to old age in two or three decades, or it may last for centuries." John W. Gardner in 1965 October Issue of Harper's.
So keeping an organization youthful is a top management challenge.
Comparing an organization to an animal in biological terms is useful. But as we see now-a-days, the average productive age of humans has increased and some individuals are running marathon at age 71 at almost with the same time that they recorded at the age of 21, organization can maintain their strength and energy for many many years. There are certain organizations who completed 100 years of their existence and still going strong. Of course there are many examples of company closures and mergers who far outnumber the 100 year old organizations. That is why maintaining a youthful organization that can research the market, develop new products, produce them, sell them and service them with the same vigor as it was doing in its earlier years.
Actively hiring young employees periodically is way for maintaining the youthful organization. The company must be ready to train young people for front line operating jobs, supervisory positions and manager level positions.
One example is, Starbucks engaging its supply chain in partnership with LeadersUp, a new workforce intermediary, to increase the hiring of youth. LeadersUp offers multiple services: identifying barriers to youth employment across the supply chain, designing employer-led interventions (training, on-the-job mentoring, and organization redesign to create career pathways for opportunity youth), and measuring the return on investment of youth hiring activities.
Source: Designing Effective Organizations: Traditional and Transformational Views
David K. Banner, T. Elaine Gagné
SAGE, 1995 - Business & Economics - 480 pages
This book on organization theory adopts a distinctive stance. In contrast to the traditional rational approach, it develops a transformational perspective which focuses on the organizational world as a projection of each organizational member's consciousness. While covering all the basic topics of organization theory, the author's approach reflects today's changing management paradigms. https://books.google.co.in/books?id=RVjyaVvEGHoC
This article builds a framework and proposes that the effective organization has to solve a jigsaw puzzle with LEGO pieces. The organizations experience forces and it has to redesign itself to survive and prosper under the action of these forces. It is a powerful framework by which to diagnose and deal with the problems organizations face according to the author..
First is the force for direction
Next is the force for efficiency,
Across from the force for efficiency is that for proficiency
Below efficiency is the force for concentration
At the bottom right is the force for innovation
Finally, two forces called catalytic: cooperation and competition.
Forms or Configurations
The entrepreneurial form - direction
The machine form - efficiency,
The professional form - proficiency
The adbocracy form - concentration
The diversified form - innovation
Ideological and the political forms
Experience shows that the dominant force sometimes dominates to the point of undermining all the others. For example, the quest for efficiency in a machine organization can almost totally suppress the capacity for innovation, while in an adhocracy the need for some modicum of efficiency often gets suppressed. This phenomenon is termed contamination
Each configuration is capable of driving itself out of control. That is to say, each contains the seeds of its own destruction.
Truly effective organizations do not exist in pure form. What keeps a configuration effective is not only the dominance of a single force but also the constraining effects of other forces. This is termed containment.
Combination is a mixture of pureforms.
The authors said in a sample of 123 companies, in just over half the cases—sixty-six, the students felt that a single form fitted best. Twenty-five entrepreneurial, thirteen machine, eleven diversified, nine adhocracy, and eight professional organizations were observed. The rest were termed combinations—seventeen different ones in all. Diversified machines were the most common (nine), followed by innovative professionals (eight), entrepreneurial professionals (six), and entrepreneurial machines (five).7
Following (and citing) Frederick Winslow Taylor’s (1903, 1911) influential work on scientific management, which discussed efficiently organizing manufacturing tasks for mass production, Shaw (1914, 1916) described the problem of efficiently organizing marketing functions for mass distribution.
“The first era, from 1900 to 1957, dealt with the emergence of the marketing discipline, when the traditional schools of thought emerged.” The “modern era” was said to have begun after publication of Wroe Alderson’s (1957) revolutionary book, which resulted in “a proliferation of schools of marketing thought”.
Edward D. Jones of Michigan State University in 1902, James S. Hagerty at The Ohio State University in 1902-03, and George M. Fisk at the University of Illinois in 1903-04, up to Ralph Starr Butler’s “Principles of Marketing” type course at the University of Wisconsin in 1910-11; that Butler published a textbook titled Marketing Methods in 1914, when his chronology ends.
Butler’s, 1914 book would have started his “pioneering period”, a publication that Maynard credited as the first textbook with the term “marketing” in its title.
Kotler and Keller (2003) is one of the few marketing writers to describe both Ansoff and Porter’s approaches to corporate strategy; however, he treats growth (Ansoff, 1965; Porter, 1985) and generic (Kotler and Keller, 2003) strategies independently and makes no attempt at reconciling the incongruities between them.
Early marketing strategy concepts
Before marketing strategy developed as an off-shoot of marketing management in the 1970s, even before marketing management emerged as a school of thought in the 1960s to replace the traditional approaches to marketing (Bartels, 1988; Sheth et al., 1988; Shaw and Jones, 2005), a few isolated concepts were developed in the 1950s literature that form the core of modern marketing strategy. These seminal concepts include: Borden’s (1957, 1964) expression of the “marketing mix,” Smith’s (1956) development of “product differentiation” and “market segmentation” as alternative marketing
strategies, Dean’s (1951) conception of “skimming” and “penetration” as alternative pricing (that he extended to the whole marketing mix) strategies, and Forrester’s (1959) description of the “product life cycle (PLC).”
With Levitt’s (1965) classic HBR article: “Exploit the product life cycle,” the PLC entered the rapid growth stage of its own life cycle. Subsequently, numerous literature reviews and meta-analyses have appeared summarizing the extant PLC literature and analyzing its strengths and weaknesses (e.g. Buzzell, 1966; Dhalla and Yuspeh, 1976; Polli and Cook, 1969; Smallwood, 1973); with one of the most comprehensive analyses in a book by Wasson (1974) and a special section in the Journal of Marketing guest edited by Day (1981). The PLC has both supporters and critics.
The Rise of Marketing and Market Research
H. Berghoff, P. Scranton, U. Spiekermann
Springer, 29-Oct-2012 - History - 312 pages
This volume serves up a combination of broad questions, theoretical approaches, and manifold case studies to explore how people have sought to understand markets and thereby reduce risk, whether they have approached this challenge with a practical view based on their own business acumen or used the tools of scholarship.
Rowntree and the Marketing Revolution, 1862-1969
Robert Fitzgerald
Cambridge University Press, 2006 - Business & Economics - 768 pages
Rowntree and the Marketing Revolution, 1862-1969 is a major study in the history of marketing in economic development, in addition to being a history of a well-known international company. Marketing history remains a neglected field of study, yet Rowntree's commercial success has been the direct result of applied marketing methods and major advances in product development, branding and advertising. It is surprising that marketing and mass consumption has been so neglected; yet Rowntree was a marketing pioneer. The company had in addition a prominent role in questioning managerial organization, business culture, industrial relations, restrictive practices, and multinational business. This book offers a comprehensive account of a company and its industry, but pursues themes and seeks to answer areas of debate, illuminating the ways in which marketing contributed to the growth of an enterprise.
The story of brand management began on May 13, 1931, with an internal memorandum from Neil McElroy (1904-1972), who had come to P&G in 1925 right after his graduation from Harvard College. While working on the advertising campaign for Camay soap, in a now-famous memo, he argued that more concentrated attention should be paid to Camay, and by extension to other P&G brands as well. In addition to having a person in charge of each brand, there should be a substantial team of people devoted to thinking about every aspect of marketing it. This dedicated group should attend to one brand and it alone. The new unit should include a brand assistant, several "check-up people," and others with very specific tasks.
The concern of these managers would be the brand, which would be marketed as if it were a separate business. In this way the qualities of every brand would be distinguished from those of every other. In ad campaigns, Camay and Ivory would be targeted to different consumer markets, and therefore would become less competitive with each other. Over the years, "product differentiation," as business people came to call it, would develop into a key element of marketing.
McElroy's memo made good sense to P&G management, and its proposals were approved up the corporate hierarchy and endorsed with enthusiasm by President Deupree.
Philip Kotler published his first edition of "Marketing Management" in 1967.
First Edition
Kotler's big idea in 1967 was that companies ought to be driven by customers and markets, rather than by the intuition of marketing executives. He went on to bring analytical thinking into the marketing field to add to the rich description of markets.
Kotler's stated that marketing needed more logical processes for making decisions and he based his textbook on ideas synthesized from economics, behavioral science, management theory and mathematics.
Kotler had been trained as an economist at the University of Chicago and MIT. As a result, he introduced mathematical models to help companies allocate marketing resources, including setting the size and goals of the sales force. The companies need a process for making decisions about how many salespeople to hire, how much to spend on advertising, how much to spend on sale promotion which was not available. Kotler filled the gap.
Kotler's original goal was to write a textbook to use in his own classes but he was delighted and surprised to see his become a big success.
Marketing Theory: Philosophy of Science Perspectives
Ronald F. Bush, Shelby D. Hunt
Marketing Classics Press, 15-Oct-2011 - Business & Economics https://books.google.co.in/books?id=W4phEfAbHBQC
Updated on 22 June 2020, 25 December 2019, 5 August 2019, 20 July 2019
DDMRP provides theory and software for combining MRP/ERP with various improvement methods that attacked inventory to improve inventory productivity and reduce cost of production-distribution system - supply chain.
DDMRP - SUPPLY CHAIN MRP & TECHNOLOGY FOR A DEMAND DRIVEN WORLD
The mantra of DDMRP is “position, protect, and pull”. The planning and execution steps of DDMRP are:
The term “demand driven” was introduced by PeopleSoft in 2002. In 2007, American Manufacturing Research gave the term a re-birth by using it as a part of their “Demand Driven Value Network”.
In 2011, Orlicky’s Material Requirements Planning (Ptak and Smith) published the first blueprint of Demand Driven Material Requirements Planning positioning it as a new demand/supply management logic. https://www.demanddriventech.com/ddmrp-for-beginners/
Demand Driven MRP supply chain software
Our Demand Driven MRP supply chain software provides next generation materials, inventory and production control planning and execution applications for global manufacturers and wholesale distributors who need to align inventory to true market demand, compress lead times, improve service levels and increase visibility across the supply chain.
It is compatible with any enterprise ERP solution.
MEIO (enabling DDMRP concepts) - OMP Plus optimizes inventory
Multi-Echelon Inventory Optimization (MEIO) calculates optimal safety stock values at every echelon of the supply chain for Make-To-Stock items. To do so, MEIO extends the single-echelon safety stock logic using desired service levels, observed demand patterns, forecast and lead times, as well as their variability. https://ompartners.com/en/planning-functions/MEIO
Demand-Driven MRP in Short (DD MRP) has been introduced into SAP S/4 HANA with its 1709 Release.
14 March 2019
Key Points about DD MRP
It’s Available in SAP From 1709
DD MRP works on Buffer level Stock.
It captures Spikes in Demand
It’s only for selected Materials (high variability)
Stock-outs & overstock will be controlled
It supports MTS, MTO & ATO
It’s a Combination of Pull & Push
It’s not order based planning
It’s not an auto driven tool requires manual interventions.
It requires a lot of calculations and trails.
At the moment it won’t support Fashion, Retail, VC Model
Key Parameters of DDMRP
Identification of material
Maintaining Buffers
Adoption of Sudden Spikes
Manual Interventions
Visible and Collaborative Execution
OCTOBER 30, 2018
Humans & machines: New supply chain planning team
Applied Intelligence, the application of intelligent technology and human ingenuity to solve complex challenges. - Architecting the supply chain of the future.
A lean and reliable approach, where boundaries between planning and supply chain execution diminish—we call it “Plani-cution.” Concepts like demand-driven MRP provide a path to run the supply chain solely on sales orders in real time with great automation potential. https://www.accenture.com/us-en/insights/strategy/supply-chain-humans-machines
Deloitte
A new approach to supply chain management
When it comes to designing supply chains today, it is no longer a one-off exercise to determine the network. Now its is dynamic engineering and optimization of the structure as a result of predictions of capacities, materials availabilities and demands globally. Planning dynamically seeks for new disruptions and tries to counterbalance impacts. Intelligent planning algorithms are developed and they do the real time planning. On the shop floor, the traditional MRP logic is being questioned and introduction of demand driven steering mechanisms is taking plae. Supply chains are composed of automatic transport and warehousing systems. Modern supply chain management is based on a strong and independent supply chain governance that supports self-organization and powerful IT.
To do this on a real-time basis and efficiently, standard ERP tools are combined with new technology. Big data architecture complements the classical ERP landscape and makes use of IoT and AI technologies. Process mining helps to identify the relevant use cases that determine the future architecture. Systems and software are now developed in an agile way through consistent architecture cuts. IT really develops towards OT (Operations Technology). https://www2.deloitte.com/de/de/pages/operations/articles/digital-supply-chain-management.html
Deloitte Exponential Supply Chain (DESC)
SAP S/4HANA includes new key applications to improve the supply chain dramatically. These modules and others are included in the Deloitte Exponential Supply Chain (DESC), powered by SAP S/4HANA® Enterprise Management. DESC is an SAP®-certified BAiO solution that provides a set of preconfigured business scenarios that can help your organization develop a vision and evolve fast to meet new business demands.
DESC can show you the “art of the possible” for leveraging SAP S/4HANA supply chain functions.
How demand-driven is your supply chain? In most cases, the honest answer to that is: not as demand-driven as we’d like it to be.
Demand-driven supply chains correlate to growth
Beginners to Leader in Demand-driven supply chain implementation to reap big increases in profit margins https://home.kpmg/xx/en/home/insights/2018/06/top-of-mind-2018-supply-chain.html
2016
KPMG’s report, Demand-driven supply chain 2.0 – a direct link to profitability, looks at how rising customer expectations are driving a new approach to the supply chain, based upon increased flexibility and agility.
You can download the report https://home.kpmg/au/en/home/insights/2016/04/demand-driven-supply-chain-2-0.html
Infographic: Demand-driven supply chain 2.0
26 October 2016
KPMG International’s latest paper, Demand-driven supply chain 2.0: a direct link to profitability, looks at how rising expectations are driving a new approach to the supply chain, based upon increased flexibility and agility. The infographic presents significant benefits possible https://home.kpmg/vn/en/home/insights/2016/04/demand-driven-supply-chain-infographic.html
July 11, 2018
ATLANTA--(BUSINESS WIRE)--Demand Driven Technologies (DD Tech), the leading provider of Demand Driven MRP compliant supply chain solutions, today released a series of new innovations for their Replenishment+® NetSuite (R+NS) supply chain solution. Natively-built for Oracle NetSuite, the innovations enable manufacturers and distributors to have unprecedented visibility into supply chain execution and improvement in inventory management.
Michelin Selects Demand Driven Technologies Replenishment+ to Improve Supply Chain Planning and Execution
BY BUSINESS WIRE
JUNE 12, 2018 http://www.sys-con.com/node/4280311
OPEN ACCESS
Effective production planning for purchased part under long lead time and uncertain demand: MRP Vs demand-driven MRP
IOP Conference Series: Materials Science and Engineering, Volume 337, conference 1, 2018 https://iopscience.iop.org/article/10.1088/1757-899X/337/1/012055/meta
2017
Demand-Driven Supply Chain Management: Transformational Performance Improvement
Simon Eagle
Kogan Page Publishers, 03-Apr-2017 - Business & Economics - 280 pages
Many manufacturing and distribution companies are moving from the traditional 'forecast push MRP' to demand-driven supply chain management (SCM). Demand-driven SCM is an 'end-to-end' supply chain planning and replenishment process that enables companies to achieve their planned service levels from up to half the average level of inventory and requiring significantly less throughput capacity - irrespective of the level of demand volatility or lead-time length.
Demand-Driven Supply Chain Management is the go-to source for industry supply chain/operations executives and students. It describes the 'what, how and why' of the demand-driven SCM process. The key themes in the book are: what is demand-driven? why is demand-driven so effective? how to operate a demand-driven supply chain? and how to adopt the demand-driven process in your company? Readers can quickly grasp the essential concepts from one of numerous self-contained sections that present the book's key concepts from different perspectives. Online resources available include full-colour figures. https://books.google.co.in/books?id=RkqFDgAAQBAJ
2019
Demand Driven MRP: assessment of a new approach to materials management
Romain Miclo, Matthieu Lauras, Franck Fontanili, Jacques Lamothe
International Journal of Production Research
Volume 57, 2019 - Issue 1
We evaluate its effectiveness relative to two other widely accepted approaches – MRP II and Kanban/Lean production – through a series of structured computer simulation experiments. The results strongly indicate that DDMRP does represent a superior approach – one that warrants further academic study.
2018
Material management without forecasting: From MRP to demand driven MRP
Alaitz Kortabarria, Unai Apaolaza, Aitor Lizarralde, Itxaso Amorrortu
Journal of Industrial Engineering and Management
Vol 11, No 4 (2018)
The present analyzes the implementation of DDMRP in a real company. The results clearly show that using DDMRP the company increased visibility in the supply chain. In addition, the inventory level was reduced by 52.53% while material consumption was increased by 8.7%. These results were achieved while maintaining the high service level.
Download the paper from: http://www.jiem.org/index.php/jiem/article/view/2654
A budget is a formal quantitative expression of management plans.
Budgets can be made by managers at any level including a single person managing a machine or operating a machine. In the context of business, budget may have revenue, expenses and profits, all in a single statement. But one can think of a budget for revenues alone, budget for expenses alone.
Master Budget
Master budget for a big organization summarizes the goals of all subunits of an organization - either business divisions if the company is organized along divisional lines or managerial functions if the company is organized along functional lines.
The master budget consists of expected or projected income statement, balance sheet, and a cash flow statement, along with supporting schedules.
Benefits of Budgeting or Imperative for Budgeting
The advocates of budgeting state that the process of preparing budget forces executives to become better managers. Budgeting schedule of a company puts planning where it belongs - in the forefront of every manager's mind. It also forces him to review his performance in the last period and identify good practices that enhanced performance and issues that contributed negatively to performance.
The formal budgeting system has the following major benefits.
1. Budgeting due to its formal time table or schedule compels managers to think ahead apart from taking care of their current activities.
2. Budgeting, due to its approval and authorization by the superiors, provides definite expectations that are the best framework for judging subsequent performance.
3. Budgeting helps in coordinating the various departments of the organization. The budget harmonizes the goals (objectives) of the individual departments into the organization wide goals (objectives).
Budgetary control at department level is encouraging department level personnel to plan their operations for the forth coming period. Both outputs and inputs are to be planned. If possible outputs and inputs are converted into revenues and costs.
The accounting system of the company will prepare the actual revenues and costs generated at the end of the period as well as during the period. The department managers have to responsibility to carry out the day to day activities to achieve the best possible results with their plan/budget as the guiding document.
Budgets can be made flexible so that cost estimates are in relation to the output produced.
Variance analysis can be done to pin point the variables that changed during the period and their effect on actual results.
Budgetary control system facilitates participation of department managers as well as senior level managers in explicitly planning for the future. The plan can be optimized with various optimization techniques.
These techniques include linear programming (for product mix problems), transportation (for planning transport of finished goods) and assignment (assigning machines for jobs or operators for jobs) and other operations research techniques. A formal budgeting system can question the department managers on whether they have applied the optimization techniques or not and where necessary advise them to use those techniques and provide specialist support in cases where necessary.
References
Horngren, Charles, T., Gary L. Sundem, and William O. Stratton, Introduction to Management Accounting, 13th Ed., Prentice Hall, 1999.
https://www.slideshare.net/Jaynegamgee/budgeting-thesis Zero-based Mindset: Getting ahead by cutting back OCTOBER 25, 2019 Most companies today base their cost management approaches on exactly that—setting budgets based on what happened last year. Against a backdrop of increasing volatility, it’s time to reimagine cost structures based on what’s needed in this new, disruptive environment. Basing resource demand on what’s needed now rather than on last year’s performance frees up capital that can then be used in ways that will have the most impact on building innovation and fueling sustainable growth. https://www.accenture.com/be-en/insights/strategy/getting-ahead-cutting-back Related Knols
Based on Chapter of Chopra and Meindl's book, Supply Chain Management: Strategy, Planning, and Operation,
Importance of Forecasts
Forecasts of future demand are essential for supply chain management decisions.
Demand forecasts are used in supply chain design, planning as well as in operations.
Demand forecasts are used in various subcomponents of supply chain.
Production: for aggregate planning, inventory control and scheduling,
Marketing: for new product introductions, promotions, and sales-force allocation
Finance: Plant and equipment investment decisions, operating budgeting
Personnel: Workforce planning and resulting hiring and layoff.
Characteristics of Forecasts
1. Forecasts may always go wrong. Therefore a rigorous presentation of forecast should include both the expected value and a measure of forecast error.
2. Long-term forecasts are usually less accurate in comparison to short-term forecasts.
3. Aggregate forecasts are usually more accurate in comparison to disaggregate forecasts. For example, forecast of the food consumed by a group of students in a college canteen can be forecasted more accurately than the food consumed by each and every student.
Forecasting Methods
Forecasting methods fall into four categories
1. Qualitative: The forecasts are based on the human judgement and opinion. Market research falls in this category.
2. Time Series: These methods use historical demand data of an item.
3. Causal: Causal forecasting uses data of multiple variable to forecast demand of an item.
4. Simulation: Simulation methods use what if questions and come out with forecasts. The underlying models for whatif analysis are time series or causal models. Even a hybrid model can be used for simulation.
When quantitative methods are used for forecast, the effort is to isolate systematic component and random component using the available data. The systematic component gives the expected value and the variation around the expected value happens in the future periods due to the random component.
Static and Adaptive Methods of Forecasting
In a static method, a single forecasting model is applied to the currently available data to derive forecasts for all the future periods for which forecasts are to be generated. In adaptive methods, as new data arrives, the new data is incorporated into the forecasting model to derive forecasts for future periods from then on.
Basic Approach to Demand Forecasting
1. Understand the objective of forecasting: Determine the decisions which are taken based on the forecast.
2. Integrate planning and forecasting in the entire supply chain: Different units in the supply chain should not forecast separately. All the required forecasts have to be generated from uniform premises and tools.
3. Identify major factors that influence the demand: This identification helps in choosing the forecasting technique.
4. Understand and identify customer segments for which you want forecast of demand.
5. Determine the appropriate forecasting technique
6. Establish performance and error measures for forecast.
Time series methods
In static methods, estimates of level, trend, and seasonal factor are derived using the past data. These three factors give the forecast of the systematic component for future periods.
Adaptive methods:
Moving average is an adaptive method. Exponential smoothing is also an adaptive method. Holt model is trend-corrected exponential smoothing model. Winter's model is a trend- and seasonality corrected exponential smoothing model.
Measures of Forecast Errors
An estimate of the forecast error is to be given along with the forecast of an expected value. As actual values are realized, a forecast error can be calculated and managers perform error analysis to satisfy themselves that the current forecasting method is accurately predicting the systematic component of demand. Contingency plans have to be put in place to account for the predicted forecast error.
Some popular measures for forecast error are:
Mean square error
Mean absolute deviation
Mean absolute percentage error
Tracking signal
Supply Chain Demand Forecasting Using Machine Learning and Predictive Analytics
Sunil Chopra and Peter Meindl, Supply Chain Management: Strategy, Planning and Operations, Prentice Hall, 2001.
Chamber, YJ.C., K.M. Satinder, and D.D. Smith, "How to Choose the Right Forecasting Technique," Harvard Business Review, July-August 1971, pp. 45-74.
Georgoff, David M., and Robert G. Murdick, "Manager's Guide to Forecasting," Harvard Business Review, January-February 1986, pp. 2-9.
Concepts of Demand Management
The concept of demand management includes demand sensing, demand shaping, demand translation, and demand orchestration throughout the value network.
The New World of Demand Management: Demand Sensing, Shaping, and Translation.
April 4, 2013 · By Lora Cecere, founder of Supply Chain Insights https://www.supplychain247.com/article/concepts_of_demand_management
A Practitioner’s Guide to Demand Planning
Effective demand planning doesn’t just happen, it requires work. To move forward, companies have to admit the mistakes of the past, implement continuous improvement programs to drive discipline, and carefully re-implement demand planning technologies.
July 2014 · By Lora Cecere https://www.supplychain247.com/article/a_practitioners_guide_to_demand_planning
DEMAND SENSING
Demand Forecasting is still stuck in 90s for many enterprise customers due to inherent limitations in prevalent SCM solutions. Basic time series based trend/seasonality smoothing models do not cut it any more in the world of fickle end-consumer demand and pressures to maintain service levels while reducing inventory and relieving working capital. https://www.gitacloud.com/demand-sensing-overview
"Industrial Engineering is human effort engineering and system efficiency engineering."
This statement appeared in IIE magazine "Industrial Engineer" in March 2010 issue.
In the year 2015-16, Institute of Industrial Engineers changed its name to Institute of Industrial and Systems Engineers. It was explained by some of the proponents of the name change is required to focus the attention of industrial engineers on the big picture of the enterprise. Otherwise industrial engineers are more focused on the time study of single operator and improvement of single work stations. But in my thinking, system focus was always present. All the pioneers of industrial engineering Taylor, Gilbreth and Emerson mentioned systems and carried out enterprise level changes. All of them worked with machines, materials, men and other resources. A major classification of industrial engineering areas as system efficiency engineering and human effort engineering clearly brings out the system focus of industrial engineering and also its special focus among engineering branches on human resource in the engineering systems and processes.
The following subjects or techniques form part of industrial engineering tool kit and can be categorized under human effort engineering and system efficiency engineering. More detailed articles are written for each topic
IE Tool Kit in Hospitable Food Service Sites.
IE magazine article, 2010 http://www.iienet.org/uploadedFiles/IIE/Applied_Ergonomics/martinez.pdf
Operation Research Methodologies in Industrial Engineering: A Survey
Authors: Robert E. Shannona; S. Scott Longb; Billy P. Bucklesa
IIE Transactions, Volume 12, Issue 4 December 1980 , pages 364 - 367
