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The Death Of Diesel

By Art van Bodegraven | 04/15/2018 | 11:25 AM

Please enjoy the thoughts and musings of our friend, supporter, and long-time contributor Art van Bodegraven Jr., who passed away on June 18, 2017. Art was a prolific writer and had amassed a collection of unpublished blog posts he had planned to run well into the future. To honor his memory, we will continue to post these remaining blogs as he had intended. If you’ve been a fan of The Art of Art blog, check out our tribute.

 

No, not Vin; he is the picture of health. But, OTR truck cabs could be seeing their last days.  Supply Chain Management Review's  5/6/2017 issue contains a heartfelt hymn to trust by intrepid Bob Trebilcock.  Directionally, the piece shows that way to go home, to get where we're going.

The extensive article describing trust at General Motors is, sadly, off-target and just plain wrong in its predictors.  To summarize, The Chevy Bolt was lauded as Car of the Year in 2016.  Of course, GM is in the middle of a 3/4 million truck recall for emisions fraud, while VW languishes in $multi-billion settlements that threaten to sink the Graf Spee.  Between the two, these could signal the last gasp of consumer-level diesel in the US.

Some gains were made, at the expense of suppliers, with GM moving up to the ranks of "average", a position not held for some twenty years.  Innovation and strategies were credited with the gains.  Ourchasing suffered with a new hand at the wheel, with claimed "savings" of over $1 billion in a year, attributed to a shift from cost cutting to cost sharing.  One might wish to validate the supplier base view of these "gains".

Reported gains savaged the supplier base, with GM staking out a claim to last place, and reneged contracts, plus quality and performance demands.  The strategic move was to create SSE, Strategic Supplier Engagement, enabled by Global Purchaing and Supply Chain (GPSC).

One set of outcomes was a new set of transparent metrics and scoresheets.  Input was taken from suppliers, and suppliers were set up to give 360% feedback.

Some think that the suppliers get a payback for building the new relationship documents.  Once again, I'd be inclined to ask the supplier base - unfiltered.

Hey, cut flowers from Colombia are still only cut flowers.  And, a matrix is only a name for a film.  Collaborate away, and hang on to those increasingly rare diesels.

 

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About Art van Bodegraven

Art van Bodegraven

Art van Bodegraven (1939 - 2017) was Managing Principal of the van Bodegraven Associates consultancy and Founding Principal of Discovery Executive Services, which develops and delivers supply chain educational programs. He was formerly Chair of the Supply Chain Group AG, Partner at The Progress Group LLC, Development Executive at CSCMP, Practice Leader with S4 Consulting, and a Managing Director in Coopers & Lybrand's consulting practice. Concentrating in supply chain management and logistics for over 20 years in his 50+ year business career, he has led ground-breaking strategic, operational, and educational projects for leading US and global clients. Art was principal co-author of DC Velocity's Basic Training monthly column for a decade, and was the principal co-author, with Ken Ackerman, of Fundamentals of Supply Chain Management, the definitive primer in the field. His popular blog, The Art of Art, has been a staple of DC Velocity's web site since its inception.



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