Supply Chain Management at TaylorMade
Identify challenges and pain points in the current process of TaylorMade
1) TaylorMade was struggling in an industry with near-zero growth. Any improvement in sales had to come at the expense of its competition, which was more agile and efficient.
2) TaylorMade, meanwhile, had one of the most sluggish supply chains around. Total supply-chain reaction time: an achingly slow 115 to 175 days.
3) TaylorMade could neither promise nor control orders. It was meeting customer commitments through stockpiling of inventory—which means a high level of inventory holding.
4) On-time delivery from vendors was no better than 60 percent. And forget about accurate sales forecasting. The company lacked the most basic information to achieve that crucial goal.
Talk about the new strategy that was adopted by TaylorMade to reverse bad performance.
1) It stabilized and improved basic business processes. It developed enhanced supply-chain capabilities, including fast delivery of customized product. It purchased a rash of new software applications. Underlying the entire project was a desire to integrate supply-chain strategy with that of the organization as a whole.
2) The system had to be built around the customer, not blind production schedules. That meant breaking down the traditional walls between functions
3) It motivated employees from being just cogs to be active participants in moving the business forward.
4) Leposky strove to clean up the data on customer demand and configuration of product.
5) At the heart of TaylorMade's IT strategy is Dallas-based i2 Technologies Inc. i2 might not have been an expert on golf clubs, but it knew something about fashioning lean, responsive supply chains.
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Mention the solution capabilities and process improvements implemented to eliminate pain points