Top 10 Supply Chains in the World [Lessons from Amazon, Wal-Mart, Alibaba, McDonalds and others]

00:11:02
https://www.youtube.com/watch?v=dHJ35-iwbI0

Summary

TLDRThe video by Eric Kimberling, CEO of Third Stage Consulting, offers insights into the top 10 supply chains worldwide, highlighting companies like Schneider Electric, Intel, Alibaba, Walmart, and others. Each company's approach to supply chain management sets it apart, including Schneider Electric's focus on sustainability, Intel's adaptive manufacturing, Alibaba's supply and tracking innovations, Walmart's groundbreaking cost strategies, Johnson & Johnson's data-driven forecasting, Colgate-Palmolive's technological advancements, McDonald's global integration, Unilever's data and manufacturing prowess, Apple's supplier relationships, and Amazon's logistical revolution. These companies exemplify effective management through innovation, sustainability, and technology. The video encourages learning from these leaders to enhance supply chain strategies.

Takeaways

  • 🌍 Schneider Electric excels in energy management, focusing on sustainability and innovation.
  • πŸ”§ Intel enhances production amid shortages, focusing on sustainability and supplier responsibility.
  • 🏷️ Alibaba manages complex supply chains by expanding manufacturing and offering supply chain services.
  • πŸ›’ Walmart revolutionized supply chains by integrating operations and reducing costs.
  • πŸ“Š Johnson & Johnson leverages data analytics for effective supply chain forecasting.
  • βš™οΈ Colgate-Palmolive uses automation and AI for enhanced supply chain management.
  • πŸ” McDonald's integrates its supply chain from farm to table with innovative technology.
  • πŸ“¦ Unilever considers supply chain a core competency, utilizing AI for consumer demand.
  • πŸ“± Apple maintains strong supplier relationships, quickly adapting to consumer trends.
  • πŸš€ Amazon leads the way with rapid delivery and complex logistics.

Timeline

  • 00:00:00 - 00:05:00

    Supply chain management is crucial in today's business world, and understanding successful supply chains can be beneficial for improvement. Eric Kimberling, CEO of Third Stage Consulting, presents a top 10 countdown of effective supply chains. Schneider Electric is noted for its complex global energy management, emphasizing sustainability and innovation, placing them at number 10. Intel, a leading chip manufacturer, is ranked ninth due to their proactive response to chip shortages and commitment to corporate responsibility, environmental impacts, and diversity.

  • 00:05:00 - 00:11:02

    Alibaba, a global ecommerce giant, excels in handling a complex supply chain with an expansion in manufacturing and offering supply chain services, ranking eighth. Walmart revolutionized supply chain management with cost reduction and innovation, making them seventh. Johnson and Johnson focus on data-driven supply chains, emphasizing data analytics to forecast and identify issues, securing sixth place. Colgate-Palmolive is noted for using digital technologies and predictive maintenance for supply chain optimization, ranked fifth. McDonald's integrates supply chain from raw material to customer delivery, placing fourth. Unilever views supply chain as a competitive edge, handling massive volumes and complexity, ranked third. Apple's adaptable supply chain and strong supplier relationships earn them second place. Amazon is first for its revolutionary supply chain practices, drastically changing consumer expectations.

Mind Map

Video Q&A

  • What is the primary focus of the video?

    The video focuses on discussing the top 10 supply chains in the industry and the practices that make them successful.

  • Who is the speaker in the video?

    The speaker is Eric Kimberling, the CEO of Third Stage Consulting.

  • Why is Schneider Electric included in the top 10 supply chains?

    Schneider Electric is included for its complex global operations in energy management and its focus on sustainability and innovation.

  • What challenges did Intel overcome to be on the top 10 list?

    Intel overcame a chip shortage by increasing production and focusing on sustainability and supplier responsibility.

  • How has Alibaba managed its supply chain?

    Alibaba has managed its complex supply chain effectively, offering supply chain as a service and expanding its manufacturing capabilities.

  • Why is Walmart significant in supply chain history?

    Walmart transformed supply chain management by driving down costs and integrating their supply chain during the 80s and 90s.

  • How does Johnson & Johnson use data in their supply chain?

    Johnson & Johnson uses data analytics throughout their supply chain to forecast consumer demand and identify potential challenges.

  • What technologies does Colgate-Palmolive use in their supply chain?

    Colgate-Palmolive uses factory automation, advanced network modeling, predictive maintenance models, and AI to enhance their supply chain.

  • How has McDonald's integrated its supply chain?

    McDonald's has integrated its supply chain from farm to restaurant, using innovative technologies to manage their global operations.

  • What is unique about Amazon's supply chain?

    Amazon revolutionized the supply chain industry, offering rapid delivery and forcing a rethinking of supply chain logistics.

View more video summaries

Get instant access to free YouTube video summaries powered by AI!
Subtitles
en
Auto Scroll:
  • 00:00:00
    supply chain management is one of the
  • 00:00:01
    hottest disciplines in the business
  • 00:00:02
    world today and there's a lot we can
  • 00:00:04
    learn from some of the leading supply
  • 00:00:06
    chains in the industry but what are
  • 00:00:08
    those leading supply chains and what are
  • 00:00:10
    the supply chains we can learn from
  • 00:00:12
    that's what i want to talk about here
  • 00:00:13
    today
  • 00:00:22
    my name is eric kimberling i'm the ceo
  • 00:00:24
    of third stage consulting we're an
  • 00:00:25
    independent consulting firm that helps
  • 00:00:26
    clients throughout the world to reach
  • 00:00:28
    the third stage of digital
  • 00:00:29
    transformation success
  • 00:00:31
    and when we're trying to learn about
  • 00:00:32
    what makes a supply chain effective how
  • 00:00:34
    do we navigate supply chain management
  • 00:00:36
    here in the 2020s it's helpful to look
  • 00:00:38
    at some of the leading organizations
  • 00:00:40
    throughout the world that have built
  • 00:00:41
    very robust and highly successful and
  • 00:00:43
    highly effective
  • 00:00:44
    supply chains so what i want to do today
  • 00:00:46
    is provide a top 10 countdown of the top
  • 00:00:48
    10 supply chains that you should be
  • 00:00:50
    familiar with as you look to ways that
  • 00:00:51
    you can incorporate those best practices
  • 00:00:53
    into your supply chain
  • 00:00:59
    schneider electric is a very large
  • 00:01:01
    global conglomerate that provides energy
  • 00:01:04
    management solutions throughout the
  • 00:01:05
    world the reason schneider is in our top
  • 00:01:07
    10 list is because they are in an
  • 00:01:09
    industry that's very complex energy
  • 00:01:11
    management typically entails a very
  • 00:01:13
    complex supply chain so that alone is a
  • 00:01:15
    reason to celebrate the success of
  • 00:01:17
    schneider's supply chain but it's also
  • 00:01:19
    the fact that they're a global
  • 00:01:20
    organization they operate in over 100
  • 00:01:22
    countries and that requires a great
  • 00:01:24
    amount of discipline as it relates to
  • 00:01:26
    supply chain management another reason
  • 00:01:28
    why schneider is in our top 10 list is
  • 00:01:30
    because they have a program that focuses
  • 00:01:33
    on driving sustainability and innovation
  • 00:01:35
    in the supply chain and this extends all
  • 00:01:37
    the way to their suppliers and basically
  • 00:01:39
    everyone that touches their supply chain
  • 00:01:41
    is focused on sustainability and also
  • 00:01:44
    innovation so for all these reasons
  • 00:01:46
    that's enough to land schneider at
  • 00:01:47
    number 10 on our list of top 10 supply
  • 00:01:50
    chains
  • 00:01:54
    coming in at number nine is intel and
  • 00:01:57
    intel is a chip manufacturer as you may
  • 00:01:59
    know and they produce a very high volume
  • 00:02:01
    of computer chips
  • 00:02:02
    every year
  • 00:02:04
    and the reason why they're in the top 10
  • 00:02:05
    is if you go back 10 years or so back to
  • 00:02:08
    2012 intel was experiencing a ship
  • 00:02:11
    shortage and they were actually able to
  • 00:02:13
    beef up production by building two
  • 00:02:15
    manufacturing plants in the united
  • 00:02:16
    states to help increase throughput and
  • 00:02:18
    productivity and production at a time
  • 00:02:21
    when there was pretty severe chip
  • 00:02:22
    shortages and during that time they
  • 00:02:24
    demonstrated that they could respond
  • 00:02:27
    with their supply chain management and
  • 00:02:28
    respond to changing macroeconomic and
  • 00:02:31
    overall supplier trends to ensure that
  • 00:02:34
    they had a supply chain that could
  • 00:02:36
    survive into the future not only that
  • 00:02:38
    but they also have a very
  • 00:02:39
    forward-thinking supply chain that
  • 00:02:41
    focuses on
  • 00:02:43
    decreasing their carbon footprint
  • 00:02:44
    decreasing their impact to the
  • 00:02:46
    environment and the sustainability of
  • 00:02:49
    their supply chain is another reason why
  • 00:02:50
    they're in our top ten and then finally
  • 00:02:52
    another neat thing about intel supply
  • 00:02:54
    chain is that they have a corporate code
  • 00:02:56
    of conduct that applies to all of their
  • 00:02:59
    suppliers they have over 9 000 tier 1
  • 00:03:01
    suppliers who are required to abide by
  • 00:03:03
    this code of conduct to ensure corporate
  • 00:03:05
    responsibility impact to
  • 00:03:08
    the climate as well as overall diversity
  • 00:03:10
    goals so for these reasons intel is
  • 00:03:12
    number nine on our list of top 10 supply
  • 00:03:14
    chains
  • 00:03:19
    coming in at number eight on our list is
  • 00:03:21
    alibaba and alibaba is the global
  • 00:03:24
    ecommerce retailer similar to amazon
  • 00:03:26
    that
  • 00:03:27
    manages a very complex supply chain a
  • 00:03:29
    lot of different suppliers a lot of
  • 00:03:31
    different customers throughout the world
  • 00:03:33
    and a lot of supply chain demands that
  • 00:03:35
    go along with that and the fact that
  • 00:03:37
    they've been able to scale the way they
  • 00:03:38
    have and grow to become the powerhouse
  • 00:03:40
    that they have internationally is a
  • 00:03:42
    reflection of their effective supply
  • 00:03:43
    chain management in addition to being a
  • 00:03:45
    retailer and distributor
  • 00:03:47
    alibaba has also
  • 00:03:49
    increased its manufacturing capabilities
  • 00:03:51
    as well which further complicates their
  • 00:03:53
    supply chain but it's a transition
  • 00:03:54
    they've managed well
  • 00:03:56
    and they've also offered a supply chain
  • 00:03:58
    as a service sort of offering to
  • 00:04:00
    customers to allow them to track
  • 00:04:02
    everything from procurement to
  • 00:04:03
    transportation and being able to track
  • 00:04:05
    the status of the supply chain along the
  • 00:04:08
    way and so for all these reasons that's
  • 00:04:09
    why alibaba is number eight on our list
  • 00:04:16
    coming in at number seven is walmart and
  • 00:04:18
    walmart is the global retailer that
  • 00:04:20
    really transformed the supply chain back
  • 00:04:21
    in the 80s and 90s by really changing
  • 00:04:24
    the way people think about supply chain
  • 00:04:26
    management in fact it was walmart that
  • 00:04:28
    made supply chain management fairly well
  • 00:04:29
    known at the time and they did that by
  • 00:04:32
    driving down supplier costs by
  • 00:04:34
    integrating their supply chain and
  • 00:04:36
    providing a lot of innovation that
  • 00:04:37
    organizations hadn't seen up until that
  • 00:04:39
    point
  • 00:04:40
    more recently in more recent years
  • 00:04:42
    walmart has navigated the pandemic and
  • 00:04:44
    the shift to omnichannel retail by
  • 00:04:46
    enabling competencies that allow for
  • 00:04:48
    curbside pickup for example to really
  • 00:04:50
    rethink the way people shop and the way
  • 00:04:52
    people get their goods
  • 00:04:54
    and they've also had a pretty strong
  • 00:04:56
    focus on sustainability and corporate
  • 00:04:58
    responsibility as well so for all these
  • 00:05:00
    reasons that's why walmart is number
  • 00:05:02
    seven on our list
  • 00:05:05
    [Music]
  • 00:05:07
    coming in at number six is johnson and
  • 00:05:09
    johnson the large consumer product
  • 00:05:11
    organization and the reason they're in
  • 00:05:13
    our top ten list is because they've
  • 00:05:15
    really
  • 00:05:16
    pioneered this whole concept of
  • 00:05:18
    data-driven supply chains and they're
  • 00:05:20
    almost obsessed with data analytics and
  • 00:05:22
    gathering data throughout the supply
  • 00:05:23
    chain and they use these various data
  • 00:05:25
    points throughout the supply chain to
  • 00:05:27
    create more accurate forecasts of
  • 00:05:29
    consumer demand as well as production
  • 00:05:31
    needs and distribution needs and really
  • 00:05:33
    identifying potential challenges and
  • 00:05:35
    bottlenecks within the supply chain so
  • 00:05:38
    this is a very innovative way of
  • 00:05:39
    thinking that we hadn't seen up until
  • 00:05:40
    johnson and johnson and that's why
  • 00:05:42
    they're number six on our list
  • 00:05:44
    [Music]
  • 00:05:48
    coming in number five on our list is
  • 00:05:49
    colgate palmolive another consumer
  • 00:05:51
    product powerhouse
  • 00:05:52
    and the reason they're in our top 10
  • 00:05:53
    list is because first of all they manage
  • 00:05:55
    a very complex supply chain effectively
  • 00:05:57
    throughout the world but secondly
  • 00:05:59
    they're also very innovative in terms of
  • 00:06:00
    some of the digital technologies they
  • 00:06:02
    use to manage their supply chain for
  • 00:06:04
    example the company has pioneered
  • 00:06:06
    factory automation as well as advanced
  • 00:06:08
    network modeling which are two
  • 00:06:09
    technologies that hadn't been used
  • 00:06:11
    previously or at least not commonly used
  • 00:06:13
    by supply chains in addition the company
  • 00:06:15
    has deployed predictive maintenance
  • 00:06:17
    models using that same data as well as
  • 00:06:20
    wireless sensors and artificial
  • 00:06:22
    intelligence so they're really on the
  • 00:06:23
    leading edge of using some emerging
  • 00:06:25
    technologies to enhance and optimize our
  • 00:06:28
    supply chain which is why it's number
  • 00:06:29
    five on our list of top 10 supply chains
  • 00:06:36
    coming in number four on our list of top
  • 00:06:37
    10 supply chains is mcdonald's
  • 00:06:39
    mcdonald's of course is the large fast
  • 00:06:41
    food retailer
  • 00:06:42
    internationally and the reason they're
  • 00:06:44
    in our top 10 list is because they've
  • 00:06:46
    used technology in a way that a lot of
  • 00:06:48
    organizations haven't done well
  • 00:06:50
    not only that but they've integrated a
  • 00:06:52
    supply chain that begins with farmers
  • 00:06:54
    and the actual production of raw
  • 00:06:55
    materials and ingredients into their
  • 00:06:57
    food all the way through
  • 00:06:59
    the final product that's delivered to
  • 00:07:01
    their customers in the restaurants and
  • 00:07:02
    of course everything in between so that
  • 00:07:04
    alone is a very complex supply chain
  • 00:07:06
    it's a very large and global supply
  • 00:07:08
    chain and for that reason mcdonald's is
  • 00:07:10
    number four in our top ten list of
  • 00:07:12
    supply chains
  • 00:07:17
    coming in at number three is unilever
  • 00:07:19
    and unilever is interesting because they
  • 00:07:21
    view supply chain management as a core
  • 00:07:23
    competency and a competitive
  • 00:07:25
    differentiator for their organization
  • 00:07:27
    and unilever supply chain begins at the
  • 00:07:29
    manufacturing process and continues all
  • 00:07:31
    the way through the end consumers it's
  • 00:07:33
    heavily dependent on data artificial
  • 00:07:35
    intelligence and other ways of
  • 00:07:37
    anticipating consumer demand and
  • 00:07:39
    producing
  • 00:07:40
    and delivering to that consumer demand
  • 00:07:43
    and if you just look at the sheer volume
  • 00:07:44
    and complexity and magnitude of their
  • 00:07:47
    supply chain it's very impressive the
  • 00:07:49
    company manufactures and distributes 77
  • 00:07:52
    000
  • 00:07:53
    stock keeping units or skus
  • 00:07:55
    in over 190 countries and they serve as
  • 00:07:57
    2.5 billion customers every day which is
  • 00:08:00
    about a third of the world's population
  • 00:08:02
    which is very impressive so for all
  • 00:08:03
    these reasons unilever is number three
  • 00:08:05
    on our list of top 10 supply
  • 00:08:10
    chains coming in at number two on our
  • 00:08:12
    list is apple which is one of the
  • 00:08:14
    largest companies in the world they
  • 00:08:16
    produce very complex products and
  • 00:08:18
    distribute their products to consumers
  • 00:08:20
    all over the world and their products
  • 00:08:22
    when you look at iphones or their
  • 00:08:24
    laptops and other devices that they
  • 00:08:25
    produce are very complex there's
  • 00:08:28
    thousands of materials that go into any
  • 00:08:30
    given end product which that in and of
  • 00:08:33
    itself is a lot of complexity to manage
  • 00:08:36
    but in addition to that they've also
  • 00:08:37
    provided a sort of supply chain that's
  • 00:08:39
    very nimble and adaptable and they've
  • 00:08:41
    done this by creating strong
  • 00:08:43
    relationships with suppliers so that
  • 00:08:44
    they can respond quickly to changing
  • 00:08:46
    customer demands
  • 00:08:48
    and taste and if you look at the way
  • 00:08:50
    they've been able to ramp up production
  • 00:08:51
    when there have been demand surges
  • 00:08:53
    they've been very good at that not to
  • 00:08:55
    say that it's always possible to find
  • 00:08:56
    the latest and greatest iphone in the
  • 00:08:58
    marketplace but in general they do a
  • 00:09:00
    pretty good job of satisfying consumer
  • 00:09:03
    demand and quickly ramping up production
  • 00:09:05
    and ramping up their supply chain as
  • 00:09:06
    they need to so for all these reasons
  • 00:09:08
    that's why apple is number two on our
  • 00:09:10
    list
  • 00:09:15
    coming in at number one is amazon which
  • 00:09:17
    is not only one of the largest companies
  • 00:09:19
    in the world but it may be the most
  • 00:09:21
    complex supply chain in the world
  • 00:09:23
    they work with thousands of different
  • 00:09:24
    suppliers and sellers
  • 00:09:26
    through their e-commerce platform
  • 00:09:29
    they produce many of their own products
  • 00:09:30
    they even are opening their own bricks
  • 00:09:32
    and mortar retail stores and by the way
  • 00:09:35
    they also manage their entire supply
  • 00:09:36
    chain of distribution beginning from the
  • 00:09:38
    source of the supplier all the way
  • 00:09:40
    through their distribution centers and
  • 00:09:42
    distribution to
  • 00:09:44
    consumers and part of the reason why
  • 00:09:46
    amazon is number one is because they've
  • 00:09:47
    really forced the industry to rethink
  • 00:09:49
    supply chains they've gotten us
  • 00:09:51
    accustomed to the idea that i could
  • 00:09:54
    order a product today and maybe even
  • 00:09:55
    have that product delivered to my house
  • 00:09:57
    by the end of the same day depending on
  • 00:09:59
    where i live and that's something that
  • 00:10:00
    was unheard of just a few years ago so
  • 00:10:02
    the fact that amazon is totally
  • 00:10:04
    revolutionizing the supply chain is to
  • 00:10:07
    be noticed so for these reasons that's
  • 00:10:09
    why amazon is number one on our list of
  • 00:10:11
    top 10 supply chains now i hope this has
  • 00:10:13
    given you a good indicator and a good
  • 00:10:15
    overview of some of the top 10 supply
  • 00:10:17
    chains in the marketplace and for more
  • 00:10:18
    best practices and lessons learned from
  • 00:10:20
    other organizations as they've rethought
  • 00:10:23
    their business models and gone through
  • 00:10:24
    digital transformations of their own i
  • 00:10:26
    encourage you to download our annual
  • 00:10:28
    digital transformation report which
  • 00:10:30
    includes a number of best practices and
  • 00:10:32
    case studies as it relates to
  • 00:10:34
    transformations including supply chain
  • 00:10:35
    transformations it also includes a
  • 00:10:37
    number of independent rankings and
  • 00:10:39
    reviews as it relates to supply chain
  • 00:10:41
    management technologies so i encourage
  • 00:10:43
    you to download that white paper i've
  • 00:10:45
    included a link below as well as links
  • 00:10:47
    to other resources i think might help
  • 00:10:48
    you as you research supply chains and
  • 00:10:51
    general business transformation sorts of
  • 00:10:53
    topics so i hope you found this
  • 00:10:54
    information useful and hope you have a
  • 00:10:55
    great day
  • 00:11:02
    you
Tags
  • supply chain
  • digital transformation
  • best practices
  • sustainability
  • innovation
  • data analytics
  • retail
  • global logistics
  • technology
  • leadership