Expert Insight: Gilmore's Daily Jab
By Dan Gilmore
Date: Mar. 17, 2009

Supply Chain Comment: What to Do in Tough Economic Times 24x7?

The Onslaught of Advice on What to Do Right Now is Starting to Get Old

Am I the only one that’s had about enough advice on what to do in tough economic times?

Yes, times are very tough, though there is starting to be a small ray of light at the end of the tunnel. But the onslaught of “what to do” pieces is starting to wear on me. I seem to get several per day via email. I think we have even done a few such pieces ourselves here at SCDigest.

The first few dozen I looked at were OK. Receiving this type of “advice” 24x7 for months on end, however, is simply becoming too much for me.

I understand how it has played out. Many technology vendors and consultants have seen the way they usually go to market simply implode for awhile. Most correctly view this now as major cost cutting times for their potential customers/clients, and hope to link themselves to such initiatives.

I understand that urge; the problem is that when EVERYONE takes the same approach, it becomes white noise. Also quite depressing.

We have seen great readership and interest in the same types of articles and opinion pieces we have always written, but we’re in a different place than technology vendors and consultants (though we depend on them for our business).

Actually, as I talk to companies, what I see more interest in than “ideas for tough times” is something that might be characterized as “back to first principles.”

Recessions at a business or personal level have a way of reminding us that we have lost our way in some areas – maybe many areas. Not badly lost our way, perhaps, but a little. If I had a dollar for every company I have spoken to in the past few months that has said something like, “We’re re-looking at the basics,” I could buy myself a pretty decent lunch. But that’s saying something.

Soon, I hope, we will be seeing more articles addressing “smart moves for the recovery.” I have been working with some organizations on Fall 2009 events, for example, and I am encouraging them to have a positive focus, partly for the reasons stated above, partly because I am confident things will look much brighter by then.

My basic point, besides the “I am tired of this same subject” issue, is that I think companies right now want solid principles, not just cost cutting ideas of the moment. Yes, capital is very tight, but we need to focus on the future. Most major improvement projects take a year or more to plan and execute. Sometimes several years.

The problem now is that companies are afraid to plan or invest because they are uncertain of both the baseline and any forecasts. When we get the baseline and the ability to plan on more solid ground, then lots of things will start happening, because we are going to see many mergers, acquisitions, and divestitures, and this experience is going to cause most companies to relook at many things in their supply chains moving forward.

Have you had enough of “what to do in tough times” pieces yet, or do you welcome as much of it as you can get? Let me know your thoughts.


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Dan Gilmore is the editor of Supply Chain Digest.
 

Gilmore Says:


My basic point, besides the “I am tired of this same subject” issue, is that I think companies right now want solid principles, not just cost cutting ideas of the moment.


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