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The forces of change

By: Francisco D’Angelo, Director – Manager of Yobel SCM Management, August 24, 2018

The world is changing rapidly by 3 forces: technology, globalization and climate change. In addition, three structural developments make the change possible: the introduction of smart phones, the expansion of bandwidth and connectivity through the cloud. These changes have an impact on the global supply chain. Consider these three events that were not in sight 24 months ago: Trump and the renegotiation of tariffs, incentives to manufacture in the US; Brexit threatening the European Community and the militarization of the islands in the South China Sea, which could change the rules of international shipping lines (1/3 of global shipments pass through there). From a supply chain standpoint, we must be aware of four forces: technology, consumers, the workforce, and logistics infrastructure. What is changing? Manufacturing in the United States is increasing, but with 1.5 million fewer workers. Work is being automated, saving time for employees. Artificial intelligence is redesigning work in operations. Businesses have only executed 18% of their digital potential. Freight agency is entering the digital stage. Blockchain is no longer only for bitcoins or fintechs (Walmart is testing its supply chain to add structure to its processes).

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Visibility or transparency?

Visibility is always one of the great challenges of the supply chain, and obtaining it in real time through all levels of suppliers as customers can improve speed to market, reduce investments, identify shortages and quality problems. However, many do not have it even at the first level of contact. Transparency is related to what and how data is communicated to customers and suppliers. Visibility is important from the provider perspective and is the same as transparency from the client side. The reality is that both are needed.

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The soft part in the Supply Chain Management executive

For a person to be competent in any area in general terms, he needs 20% knowledge, 30% skills and 50% attitude. If knowledge is the hard part that is learned from university and with experience, then the soft part, 80%, are skills and attitude, that is, our soft part defines the behavior necessary for the position.

What is expected and what are the functions that Supply Chain Management (SCM) managers have to perform? A lot of responsibility, supervising expenses that represent between 50 and 70% of the total costs of a company, maximizing profits by improving the productivity of assets, even identifying new sources of income generation, participating at the board of directors and increasingly, managing a regional or global team.

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“Outsourcing the Supply Chain Management allows to focus on the Core Business”

Source: Logistiguía

What does Yobel SCM stand for as a brand? Yobel SCM is positioned as a company that provides third party supply chain optimization services or Supply Chain Management Outsourcing. The attributes and values ​​that the brand transmits are its customer orientation, flexibility, competitiveness, integrity, adequate technology, credibility, professionalism. The personality that we intend to reflect our brand is to be upright, organized, working as a team, flexible, fast, professional and competitive.

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Technologies and infrastructure are the biggest challenges in the logistics market

Source: Logistics Management

Francisco D’Angelo, executive vice president of Yobel SCM, mentions that the relevance of outsourcing lies in the extent to which the company has determined that logistics and the supply chain is not part of its core business. Once this is determined, one can already think about the benefits of outsourcing: a 15% reduction in costs, the no need to intervene in non-core assets and the improvement of delivery services, says D’Angelo. “All this will generate an increase in value in the company.”

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Expogestion 2016

The International Forum of Logistics and Supply Chain “XXI Expogestión, Innova Supply Chain: Facing the present, building the future”, was held on October 20 and 21 at the Hotel Los Delfines. This important event was once again the meeting point for the most prestigious executives related to the sector; A space specially designed to share strategies, technologies and knowledge about global trends at the highest level and visit the stands of specialized services and technologies.

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Third Study on the situation of Supply Chain Management in Peru “Stones on the road”

At Yobel SCM we manufacture around 15 million units per month for different clients. Within the categories of products that we manufacture we have: powders, creams, colognes, makeup; We can manufacture practically everything that is in the supermarket shelf (Francisco D’Angelo).

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Logistics Damage

Source: Economic Week The FEN damages will have a medium-term impact.

The sector represents 7.2% of Piura’s GDP. Recovery will depend on the speed with which transport routes, mainly land, are rebuilt. 1,700 km of roads have been destroyed and their total reconstruction cost would amount to US $ 1,479 million, according to APOYO Consultoría (AC). “The (land) accesses from Virú (south of Trujillo) to the north have been blocked. The supply to Piura, Chiclayo and part of Trujillo has been done via cabotage, ”says Andrés Diez, corporate manager of Yobel SCM.

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