It’s a busy conference season and quarterly results reporting period. TEC is chugging down the coffee, keeping up with happenings in the supply chain space. Descartes has announced another acquisition this past week, and we share a few insights from our conversation with them. We also found ourselves on the phone recently with DCRA’s Jon Kirkegaard. TEC’s new Supply Chain Management (SCM) Market Survey Report is out, just before we head to AspenTech’s OPTIMIZE2013 this week. Lastly, the tragedy in Bangledesh should probably be a wake-up call to the importance of supply chain risk management. Where are you headed this week? What’s capturing your supply chain attention? Drop us a line.
Descartes has announced the acquisition of KSD Software Norway AS, a vendor of electronic customs filing solutions for countries in the EU, as well as Switzerland, Norway, Israel, the United States, and Canada. Descartes’ Chris Jones indicates that this is one of the larger of the half-dozen or so acquisitions that it has made in the past 3 years. Descartes obviously covets the additional users to the Descartes Global Logistics Network (adding 1,300 onto the currently cited >8,000 figure), as well as the $10 million in additional recurring revenue. Descartes also believes that, with this acquisition, it become the largest supply chain vendor in Scandinavia, and one of the largest in Europe. (Descartes’ presence in Europe has grown from perhaps a couple of dozen people in 2009 to more than 300 people today.) Descartes will have more to say about this acquisition in its next quarterly call scheduled for May 30. Read the rest of this entry »
In this week’s Shorts, we talk about JDA’s release of JDA eight; Retails Solutions’ value proposition; and a recent visit to Oz Development. What have you been up to this week, supply chain-wise? Wandered off the beaten path and happened upon something interesting? Drop us a line or give us a call.
JDA has released JDA eight, as expected, which should be a terrific new platform—product, and marketing—for JDA. With its several acquisitions, and storied history, JDA has become a conglomeration of technologies. With this announcement (which TEC will have more to say about in the near future), JDA brings 30 different solutions onto a common, cloud-based platform. JDA has certainly had the breadth of supply chain capabilities to make it a leader; now it potentially has the underlying platform to make its solutions—and its marketing message—a more integrated one.
JDA’s John Kopcke, executive vice president and chief technology officer, who had been RedPrairie’s (first ever) CTO from 2011–2012, seemingly jumped from the proverbial frying pan into the fire, going from tackling the rationalization of RedPrairie’s architecture to being the face for the platformization of JDA Software, to integrating the RedPrairie-JDA solutions. Read the rest of this entry »
The companies that managed this week to take our minds off of our broken NCAA brackets and the only slightly less broken Red Sox were Epicor, Logility, ProcessWeaver, Quintiq, and Security Engineered Machinery. We also tell you about a few events on our calendar that you might want on your calendar.
At the NRF BIG Retail Show 2013, a new relationship was announced between Kronos and Manhattan Associates to help retailers profitably integrate their physical stores into their digital selling strategy. The idea is to allow retailers to increase customer satisfaction and drive sales by freeing up trapped inventory in the store and elsewhere in the upstream supply chain, while managing labor costs.
On November 1, 2012, RedPrairie Corporation and JDA Software announced their merger. Under the terms of the agreement, the entities affiliated with RedPrairie will effect a cash tender offer to acquire all outstanding shares of JDA common stock for $45 per share. My initial positive and negative thoughts on the merger were outlined in Part One of this blog series.
Cynical and jaded market observers will see this merger as a déjà vu whereby two software companies that have been unable to perform to their full potential are coming together with the hope things will improve just like that. Read the rest of this entry »
SmartOps Corporation is a quiet provider of supply chain planning (SCP) solutions that right-size inventory and capture more sales (by way of managing demand) for global enterprises that compete in complexity and uncertainty of their global supply chains. Deploying SmartOps’ solutions has dramatically improved supply chain performance at more than 50 Fortune 1000 and global 2000 companies in discrete manufacturing, consumer durables and packaged goods, technology, pharmaceutical manufacturing, distribution, chemicals, and retail industries. SmartOps is an SAP-endorsed software solution and technology partner with many joint sales efforts and customers, but its solutions also integrate with all leading enterprise application platforms.
For a long time the company’s bread-and-butter product has been SmartOps Enterprise Inventory Optimization (EIO), which is a comprehensive suite of software modules that enables organizations to plan and manage inventories across global supply chains. EIO modules allow companies to analyze crucial inputs and signals, model the impact of decisions on global inventories, and help ensure balanced inventory levels while respecting service levels and minimizing risk. Read the rest of this entry »
My recent attendance at Progress Revolution 2011, Kinexions 2011, and several Boston APICS Chapter professional development meetings, where a plethora of companies talked about their operational experiences of late, made me realize that “business as usual” practices no longer work.
For one thing, while long-term planning remains an important exercise for senior executives’ strategic and visionary purposes (evaluating what-if scenario options and making long-term decisions), many recent events have caused serious paradigm shifts.
Trying to make rocket science-based optimized long-term plans has nearly become a fool’s errand. For example, the recent Japanese earthquake and the still ongoing floods in Thailand had quite the impact on high-tech brand owners worldwide, given that some finished goods (gadgets) manufacturers source 30 percent or even more of their critical electronic components from these regions.
At Kinexions 2011 we all heard the following sad supply chain stats: 48 percent of weekly demand plans have errors, with only 5 to 10 percent average net promoter scores (NPS), as the measure of customer loyalty, and measly 0.06 percent compound annual growth rate (CAGR) on return on capital (ROC) as results.
Part 1 of this blog series talked about my attendance of the JDA FOCUS 2010 conference on the heels of the recent merger between JDA Software (NASDAQ: JDAS) and i2 Technologies. The article first discussed the different geneses and cultures of the two merging parties.
One major outcome of the conference was JDA’s unveiled plan to converge most of its existing and acquired product sets. To that end, JDA pledged several key commitments to its customers, starting with that the company would continue to support all of its products.
Last year I attended the JDA FOCUS 2009 conference to realize that Scottsdale, Arizona-based JDA Software (NASDAQ: JDAS) has become a force to be reckoned with in the vast supply chain management (SCM) space. Although far from being a vocal or touchy-feely company, throughout its history JDA has been run fairly effectively by applying basic principles of sound management. These principles of profits and prudently spending within its means have been rare in the software business, and JDA’s results have been impressive for a very long time.
Throughout most of its history, JDA has also acquired a number of companies that were often doing badly, typically because their management was long on strategy, vision, and ambition, but short on execution. JDA has been able to rectify the situation, time and again. The company’s acquisition criteria have been as follows: strategic fit, market leadership, and relatively modern software architecture of the acquired product.
Part 1 of this series analyzed the late-March acquisition of long-struggling inventory optimization (IO) provider Optiant by long well-performing supply chain management (SCM) provider Logility. I then discussed Logility’s acquisition history to set the stage for the current offerings that Optiant will join.The 2004 acquisition of Demand Management, Inc. (DMI) and its Demand Solutions brand was especially valuable as it provided more than 800 active customers in the growing small and midsize enterprise (SME) market for Logility. Today, Logility’s customer base encompasses about 1,250 companies located in more than 70 countries, which gives Logility the largest installed base of supply chain planning (SCP) customers among application software vendors. Moreover, Logility is possibly the only SCP vendor that can meet the needs of SMEs, large companies (i.e., from US $200 million to US $1 billion in revenues), and Fortune 1000 markets (with over US$1 billion in revenues).
Part 2 thus first analyzed the Demand Solutions product line [evaluate this product] to the SME market through DMI’s global value added resellers (VAR) network. The article then started to analyze the Logility Voyager Solutions suite [evaluate this product], which is a broader SCM offering for the upper end of the market. The final part of this blog series now continues with the analysis of the Logility Voyager Solutions suite and analyzes how Optiant might fit in.
Part 1 of this series analyzed the late-March acquisition of long struggling inventory optimization (IO) provider Optiant by long well-performing supply chain management (SCM) provider Logility. The blog post then discussed Logility’s acquisition history to set the stage for the current offerings that Optiant will join.
The 2004 acquisition of Demand Management, Inc. (DMI) and its Demand Solutions brand was particularly valuable as it provided more than 800 active customers in the growing small and midsize enterprise (SME) market for Logility. Today, Logility’s customer base encompasses about 1,250 companies located in more than 70 countries.
These facts give Logility the largest installed base of supply chain planning (SCP) customers among application software vendors. Logility is possibly the only SCP vendor that can meet the needs of SMEs, large companies (i.e., from US $200 million to US $1 billion in revenues), and Fortune 1000 markets (with over US$1 billion in revenues).
The mergers and acquisition (M&A) market seems to be coming back slowly. One evidence of this could be the late-March acquisition of long-struggling inventory optimization (IO) provider Optiant by long well-performing supply chain management (SCM) provider Logility.
Now, I certainly wasn’t surprised by Optiant’s acquisition per se. After all, it was only a matter of time before Optiant would be acquired (or simply go out of business).
What is EAM?
As the acronym implies, EAM is used to manage assets in a company, which can be a module in an enterprise resource planning (ERP) solution or a standalone product. EAM is also known as computerized maintenance management system (CMMS), or computerized maintenance management information system (CIMMS), and it is a software package used to plan, control, and monitor assets from acquisition to obsolescence.
In spite of the 2009 recession, some SCM vendors were able to create traction in the supply chain space this year. From an industry landscape perspective, three events from 2009 will have a more far-reaching impact than any other in this space, primarily because they’re priming the conditions for still more vendor competition and industry volatility in the year to come. Read the rest of this entry »
Many people are aware of a reality show on television titled “Jon & Kate Plus 8”, which features a couple that is separated and ready to get divorced. Occasionally couples have disagreements and need to get away from each other to sort things out then come back to the table with new perspectives. That’s what JDA and i2 have done with their deal from last year. JDA plans (once again) to acquire i2 Technologies. This time around, the offer is for $396 million (USD). Read the rest of this entry »