Logistics Ireland 2009
NITL’s recent annual conference heard how logistics and supply chain management (SCM) hold the key to tacking the challenges faced by organisations in Ireland today.
Two leading UK-based academics (Professors David Grant and Martin Christopher) explained to over 150 delegates at Logistics Ireland 2009 that SCM thinking is imperative if firms are to meet increasingly demanding expectations in the market place whilst simultaneously focusing on eliminating waste throughout the supply chain.
Observing some of the logistical casualties as a result of the economic downturn, opening speaker Professor David B. Grant, Director of University of Hull Logistics Institute (UHLI), said that container shipping costs have virtually collapsed as global trade has decreased 20%. Looking at the ‘megatrends’ impacting a firm’s logistics and supply chain strategy, while the economic downturn was the single biggest factor across all business, other factors were also having a greater or lesser impact depending on the size of the firm. For smaller firms the cost of logistics services was a big consideration whereas for medium sized companies increasing customer requirements were identified as their biggest concern. Meanwhile large sized firms felt that changes in the company’s organisational structure was a major factor in their supply chain strategy. He also emphasised that small and medium sized businesses had the advantage of being more adaptable than bigger companies, able to be responsive to customer’s needs, make quicker decisions and work more closely with suppliers to change orders and shipments to prevent inventory build-up. An abridged version of Professor Grant’s conference speech is included in this issue of SCP.
NITL Executive Masters participants and module leaders photographed at Logistics Ireland
Another keynote speaker, Professor Martin Christopher of Cranfield University focused on the issue of managing complexity. Identifying that the biggest opportunity for cost reduction lies in reducing the complexity of today’s supply chains, he noted that outsourcing demands, shortening life cycles and organisational growth were all factors in making supply chains ever more complex. Understanding the total cost of ownership was critical, and by reducing organisational, product and customer complexity, companies could significantly reduce costs he argued. Professor Christopher’s themes are elaborated upon in his article in this issue of SCP.
One of the world’s leading experts in supply chain change management projects is Liam Cassidy, MD of LCL (Leading Change through Lean) and author of 10 Drivers of Rapid Improvement – Without Compromise – operating principles which have become widely adopted by companies all over the world. Liam outlined the steps that he undertook to save an Oral B plant earmarked for closure in Iowa. By implementing a new competitive culture, streamlining aspects of the business, and providing an open and honest work environment, the plant became one of the best performing in the Gillette Group‘s network. Liam discusses some of these issues in more detail in his article later in this issue.
Delegates at Logistics Ireland
Other presenters included Declan Kearney, founder and CEO of SupplierForce who highlighted the critical role of supply management within SCM, and the importance of dynamic risk management. Pearce Flannery, founder and Chief Executive of Pragmatica, a management, marketing and human resource consultancy group provided a motivational talk exploring how we need to readjust our mindsets in order to affect the national approach to doing business in an international environment (see Pearce’s article for more detail).
Commenting on the conference, Edward Sweeney of NITL said that “the reality is that global economic volatility has resulted in markets that have become more sophisticated and more complex and customers who have become more discerning. In short customers expect better service and quality at ever more competitive prices. SCM and logistics – with its focus on enhancing customer service while optimising total supply chain cost and investment – have a pivotal role to play in this scenario”. Edward also thanked the conference partners (Dublin Institute of Technology and the Chartered Institute of Logistics and Transport) and sponsors (Zetes, Dublin Port Company, GPS Ireland, The Pallet Network and GeoDirectory) for their support. The conference was opened by Lord Mayor of Dublin, Councillor Emer Costello and chaired by Ingrid Miley of RTE.
Ingrid Miley, Industry and Employment Correspondent at RTE, Emer Costello, Lord Mayor of Dublin and Edward Sweeney of NITL at the conference
Diary Marker!
NITL is delighted to announce that Logistics Ireland 2010 will be held in Dublin on Tuesday October 19th. The theme will be ‘Dynamic Supply Chain Management and Logistics Leading the Recovery’. Among the confirmed speakers is John Gattorna, one of the recognised thought leaders in global SCM (see www.johngattorna.com).