Joe Donnell

In today’s increasingly complex global supply chain landscape, Tom Moore keeps his message refreshingly straightforward: ProvisionAI helps large companies discover hidden costs and eliminate them. Organizations such as Procter & Gamble, Nestlé, and Unilever have leveraged the company’s technology to uncover and eliminate inefficiencies—particularly in transportation and warehousing—that traditional systems fail to detect. The outcome is significant and often delivers immediate savings. But Moore believes many of these problems stem from misunderstandings about the very technologies companies rely on.   Misnamed Systems & Misaligned Expectations Before the interview officially began, Moore reflected on the surprisingly inaccurate names assigned to modern supply chain technologies. ERP systems rarely plan resources across the enterprise, despite what their name suggests. Warehouse Management Systems, while certainly used in warehouses, don’t actually “manage” much at all. People behind keyboards still make most of the critical decisions. This disconnect in terminology shapes faulty expectations. Many organizations believe their planning systems will truly plan the supply chain, yet most tools merely react to demand signals. If ABC Company orders ten cases, the system automatically replenishes—without considering warehouse capacity, transportation availability, downstream implications, or cost-to-serve. Moore characterizes this as both an old problem and a new one, and it…

Kelly Barner, host of Dial P for Procurement, procurement thought leader, and managing director of Buyers Meeting Point, explains why formal relational contracting is a great approach for companies serious about supporting their diverse suppliers in a recent Forbes article. “Small and diverse suppliers often find themselves in a Catch-22. They need to grow their capabilities to expand but as they’re often smaller organizations they fall into the trap of having transactional relationships with their customers.” Read the entire article here.