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Kinaxis Focuses on Operational Performance Management
(9/13/2005) Ascet Volume 7
By Colin Snow, Ventana Research
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Summary

October 17, 2005 - Increasingly, organizations judge operational success by how fast they can respond to changes in customer demands and global supply conditions. But many manufacturers, especially in electronics, often don’t know exactly what they have to do until the start of each day, so their success depends on making effective decisions that support their overall performance objectives. Ventana Research sees the continued growth of Kinaxis as evidence that companies are adopting best practices and solutions in the realm of Operational Performance Management to increase effectiveness in their supply chains and manufacturing processes.


Increasingly, OEMs, manufacturers and distributors are realizing that their decisions regarding demand, supply, capacity and products can carry unintended consequences. Often they make decisions without anticipating what prove to be inevitable trade-offs, such as the effect that taking an unplanned order may have on purchase cancellations and overall profitability. The source of the problem is that their supply chain processes still operate independently and in a fragmented manner compared to other areas of the organization. Simply put, manufacturers cannot improve operational performance because they cannot connect demand to supply all the way from planning to execution.


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