marion mathison primex feb. 2002 marion mathison supply chain management february 2002 primex ‘02

Marion Mathison Primex Feb. 2002

Marion Mathison

Supply Chain Management

February 2002

Primex ‘02


Definitions: A Place to Start

Supply Chain Management

The supply chain encompasses every effort involved in producing and delivering a final product or service.

• From the forest to the end-user’s front door

• Is about much more than paper

Customer’s Customers Supplier’s Suppliers


But It’s Not That Simple…

• The supply chain is made of many functional chains.

• The common focus on manufacturing is narrow.

• Bridges between chains are mission-critical.

• We need 360-degree spectacles.


What Has Changed

• Recognition that we are in an information business,

different than hard asset manufacturing

• The power driving supply chains is moving upstream:

- from production and manufacturing toward content

creation and management

- from back-end to front-end

• Availability of outsourced and virtual portions of the chains

• Movement:

From: Paper media sufficient unto itself

To: Paper is required but must be accompanied by

Internet & electronic media


Business Dynamics

• Realization is dawning that cost reduction is not enough

• Customers are perhaps even more important than suppliers

• Most organizations do not know who their customers are and

what they want


How Did This Happen?

• Printing & publishing industry traditionally relied on manufacturers

such as Heidelberg, Kodak, Dupont, paper manufacturers and, more

recently, Adobe, Quark, Microsoft, Sun, IBM, etc. to do R&D and

Marketing.

• R&D and Marketing historically create growth through new products,

market development, and demand generation. Sales & Manufacturing

fulfills against this demand, and Finance measures backward & forward.

• Incomplete understanding of printers’ and publishers’ position in the

overall food chain.

• Underestimating impact and risk of what’s beyond peripheral vision.


An Example of the Food Chain

Customers

Corporate Advertisers

Agencies

Subscribers

Book Stores

Book Distributors

Libraries

Consumers

Service Providers

Prepress

Digital Services

Printer

Fulfillment/Distribution House

Industry

Manufacturers/Suppliers

E-commerce

Paper

Ink

Presses

DTP

Film

Publisher

-Telecommunications & Networks

-Internet & ISP

-Computers (all sizes)

-Application Software

-Servers

-Database Software

-System Integrators

-Enterprise Systems

2002 Infrastructure Manufacturers/Suppliers


Follow the Money

to the Owner of the P & L

Who is Your Customer?


Management Direction:Faster, better, cheaper

Get more from less

CUSTOMERSCUSTOMERS

DigitalContent

ManagementOutsourcingDigital Page Layout

Internet

Digital Workflow

E-businessBrokering

Digital Photography

PDF & AcrobatNon-print

Media

… and many more

Stock PhotoLibraries

Technology Opportunities & Confusion


Types of Supply Chains

Content Creation & Management

Marketing Promotion

Selling & Collaborating

Manufacturing & Delivery

Administration & Financial Management


Connection of Supply Chains

Information Company Model

Customer’s

Supply Chains

Customer’s

Supply Chains

Suppliers’

Supply Chains

Content Creation& Management

Administration &Financial Management

Marketing Promotion

Manufacturing& Delivery

Selling &Collaboration


Sales Supply Chain

Example: Commercial Printer Sales Cycle

Find Prospect Prospect learnsabout company

Close CustomerSell

OngoingSupport

Cycle/Steps:

Support:Lead Generation

• Direct Mail

• PR

• Business-Line

specific promotions

• Radio

Door Openers

• Letters

Telling the Story & Presentation

• Image Brochure

• Datasheets

• Case Studies

• Presentation

• Samples

Proposing & Selling

• RFQ/RFP

• Mega Response

Program

• Contracts

• Thank you letters

Ongoing Customer

& Prospect Programs

• Seminars

• Training

• Newsletters

• CEO Comm.

• PR

• Direct Mail

• Web SiteFoundation:•Service/Product Definition & Database Development

•Sales & Production Briefing/Training

•Website

•Customer Database development


CAPTURE•Photography•Documents•Text•Audio•Video

Marketing ContentManagement

System

Marketing Promotion Workflow

CONNECTIVITY•Data Input•Daily Updates

ADMINISTRATIONTools & Program in all media:

•Print on demand-

”One- to-One”

-Print

-Internet

-CD/DVD

-Video

•Direct Mail

•Collateral Material

•Training

•Web Site

•Kiosk

•Marketing Reports:

-Tracking

-Inventory

-Vendor retrieval info

-Update reminders

-Response levels

COLLABORATION(Users)

•Marketing•Finance•Creative•Legal•Vendors•Production Purchasing


Digital Content Management

aka

Media Content Management

MAM Market:

$1.2 B in ’99

$5 B in 2004

Source: Gistics

An integrated system of processes, technology and tools that enables an organization to manage and re-purpose information assets digitally.


Text Graphics Images Whole pages Publications

Music Film Radio

announcements TV broadcasts

Metadata - the information about the assets& the key to making money.

Information Assets


Digital Content ManagementMapping the Model of the “Next Big Thing”

Digital Asset Library/Archive

Tracking & Reporting

Communication Links

Page Production

Transaction Processing


The Value of Content Management

Strategic competitive advantage for growth

• Incremental new revenue streams

• Faster development of new offerings

• Reduced time to market

• New sales channel on the internet

• Effective brand management

• Increased valuation

Tactical cost reduction in production cycle


People ChangeChange

??!!Technology

Challenges and Barriers


Two Things to Consider

• About money and value - it is unwise to pay

too much, but it is worse to pay too little.

• About learning - we can choose to never stop


Expect Nothing

Blame Nobody

Do Something