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As 2024 draws to a close, we reflect on the key lessons and insights gained throughout the year. The supply chain industry continues to evolve rapidly, making it essential for businesses to stay informed about trends and strategies.

This year, we’ve shared valuable expertise and actionable knowledge on supply chain topics. To ensure you’re up to date, we have summarized three must-reads from the year. Check them out and happy reading!

Why ABC classification is outdated – and what method to use instead

ABC inventory classification has been around for so long that most planners just assume it is the only way to segment inventory. Spoiler alert: it is not. And it is far from the best way. This method hails from the 1960s, a time when computers were room-sized giants. Today’s tech can do so much more. Let us dive into how inventory management has evolved into multi-echelon inventory optimization (MEIO), helping companies minimize inventory investment while hitting service-level targets and improving profitability. Want to know more? Read the full article here

7 tips to successfully go live with your new supply chain planning system

In today’s fast-paced business landscape, optimization is key, especially in supply chain. With the right system in place, companies can boost efficiency and ultimately drive greater success. Yet, rolling out a new supply chain planning system is a complex task – and pushing that button can feel quite daunting. This article will give you 7 tips to help you go live with your new supply chain planning system. Read the full article here.

Customer Case: How Nissens optimized their S&OP process to drive efficiency and growth

Nissens faced significant challenges in their S&OP process, using manual spreadsheets that hindered efficiency and business growth. With their mind set on transitioning from a people-dependent to a process-driven approach, Nissens turned to Optilon for a robust solution. Read the full article here.

Thank you for an amazing year filled with valuable supply chain insights. We’re excited about all the opportunities 2025 will bring and can’t wait to continue this journey with you.

Are you looking for more information about Optilon? Follow us on LinkedIn and Instagram so you don’t miss any news, tips, or opportunities.

The Unnecessary Report 2024 is here! The 400 largest companies in the Nordics tie up unnecessary capital in goods equivalent to 23 billion euros which occupy a total of 8 million square meters of unnecessary storage space – enough to cover 31,000 tennis courts. By optimizing inventory management, businesses could free up valuable resources, cut costs, and support sustainability initiatives.

This year’s report highlights untapped opportunities within Nordic supply chains. Efficient inventory management and optimization can have a significant impact on a company’s profitability. According to the report, 8 million square meters of warehouse space is surplus, equivalent to 31,000 tennis courts. By implementing smarter supply chain management and optimization, companies can free up capital and reduce inventory and distribution costs. On average, the largest companies in the Nordics could free up around 58 million euros, while becoming more sustainable and efficient.

The report also reveals differences across sectors and countries. Sweden has the greatest economic potential, with 8.1 billion euros to release, equivalent to 1.5% of GDP. The Tech & Life Science sector is the most inefficient, with 33% of the inventory classified as unnecessary. Despite some progress, unnecessary inventory holding has increased by 16% since the report 2021 was launched, highlighting the need for action. Optimized logistics can also reduce carbon emissions and enable investments in sustainable initiatives.

These improvements have the potential to drive sustainability initiatives and create thousands of new jobs, building a brighter, more resilient Nordic future.

Want to learn more? Download the report here for free!

Want to take your inventory management to the next level? Book a meeting with us today!

In today’s fast-changing world of supply chain management, it’s important to stay on top of the latest trends. We spoke with Stefan Holmberg, Senior Business Advisor for Supply Chain at Optilon and President of the Swedish CSCMP Roundtable, who recently attended the CSCMP EDGE Conference in Nashville. With many years of experience in the industry, he came back with insights on the future of supply chain planning, how AI is becoming more important, and the challenges businesses are facing worldwide. From the rise of generative AI to changes in global production strategies, Stefan’s thoughts give us a clear look at where the industry is heading.

Hi Stefan! You recently attended the CSCMP EDGE conference in Nashville. What trends do you see coming from there?

– I was particularly interested in Supply Chain Planning topics, especially when there was an AI component. My conclusion is that the trend toward AI-supported planning and execution continues, with more business cases emerging, although still at a somewhat basic level. One key difference I’ve noticed is the growing focus on generative AI rather than general AI. Additionally, using unstructured data presents significant opportunities for efficiency gains, particularly in processing written documents, such as various types of contracts. Working with these documents and tasks is extremely time-consuming today.

– The first step is to carry out a scenario analysis of local versus global needs. Network Optimization models can be used to analyze how different levels of glocalization impact your supply chain. The second step is to optimize cost, service, and risk adjustments. Network Optimization models can analyze cost trade-offs between global and local strategies, such as transportation, customs, or local compliance costs.

How do the challenges faced by companies in Asia or the US differ from those encountered by businesses in Europe and the Nordics?

– There are differences between companies in various parts of the world, driven by their geography, infrastructure, regulations, access to skills, and culture. Large companies often operate globally, and while most supply chains are global, there is now more focus on bringing production closer to sales markets. This shift is driven by geopolitical tensions, lessons from the COVID pandemic, and events like the incident in the Suez Canal.

– Cloud-based technology reduces location disadvantages, as it’s accessible with just an internet connection. In the Nordics, though we are on the edge of Europe, shipping goods south can still be done within a day or two, which is quicker than crossing the U.S. or shipping across Asia. The main challenges we face are traffic congestion and driving restrictions.

Are there specific areas where Nordic companies are leading, and others where they might be falling behind?

– I believe Nordic companies have a significant advantage in their focus on sustainability. We tend to have a more developed and insightful approach to sustainable practices compared to other regions.

What are your key takeaways from the conference?

– What stands out from a global conference like CSCMP Edge is that, while the challenges aren’t identical, many companies are dealing with similar issues—like finding better ways to automate distribution and build agility and resilience in global supply chains. My key takeaways are:

AI is rapidly evolving, particularly in Generative AI, with training costs significantly reduced and technology ready for adoption. However, while 73% of business leaders plan to embark on an AI journey, about 75% are unsure how to start. We are approaching a “tipping point” for AI adoption, but greater trust and widespread use are necessary.
The demand for energy to support AI will continue to rise.
The need for high-performing teams will increase alongside AI adoption, presenting challenges in building and supporting these teams. Being part of a global network like CSCMP offers valuable opportunities to learn from diverse experiences.

While things are changing quickly, the key to success will be staying adaptable and working together across different regions. The future of supply chain management will be driven by innovation, resilience, and global collaboration—things that will help businesses stay ahead in a world that’s always evolving.

Want to know more about how these trends could impact your business? Book a meeting with us today!

On September 5th at Berns in Stockholm, we opened the doors to the Optilon Supply Chain Conference 2024. It’s no secret that the world is changing rapidly. With the theme Navigating the New Era, we focused on understanding how these changes affect our businesses and how to stay competitive in this evolving market.

The day was filled with valuable insights from several outstanding speakers, along with a matchmaking segment where we had the opportunity to discuss both future challenges and opportunities in the industry.

Did you miss the conference? No worries—here’s a recap of the event!

NAVIGATING THE NEW ERA

The conference began with a breakfast where over 300 supply chain professionals gathered, energized for an insightful day ahead. Afterward, our moderator Sabinije von Gaffke welcomed everyone for the 10th time in a row.

Throughout the day, attendees were treated to a diverse range of perspectives and expertise from industry leaders:

First up was Alexandra Stråberg from Länsförsäkringar, who spoke about how the global perspective is business-critical and how it affects everyday life at national, regional, and local levels.

Vivienne Carney and Jim Thulin from AAK discussed how food safety and contaminant control are more critical than ever before. They explored ways to minimize the disruptive impact these issues could have on our operations and supply chains.

Maria Dahlén from Epiroc shared experiences and insights on the supply chain disruptions Epiroc has faced in recent years, beginning with the pandemic. She emphasized how we can effectively plan and prepare for future disruptions.

Hagen von Petersdorff from IKEA explored the transformative journey of integrating data science into supply chain operations. He highlighted the strategic shift that many companies, including IKEA, are making by bringing key analytics roles in-house.

Henrik Kniberg from Hups & Flitig.ai shed light on generative AI and how we can keep up with this rapidly evolving technology. He explained how both individuals and companies can stay relevant in the Age of AI.

Kim Gaba Jensen from Tesla talked about how Tesla is innovating the industry, manufacturing, and modern car ownership. He also shared the secrets behind Tesla’s staggering 55.4% compounded annual growth rate.

The final keynote speaker was Micael Dahlen, Professor of Wellbeing. He demonstrated how we can get more out of life, our relationships, and our careers. He shared findings from his own research, as well as others, and provided us with tips and tricks that are scientifically proven to help us enjoy our lives just a little bit more.

MATCHMAKING

This year we introduced a special feature at the conference: supply chain matchmaking. Throughout the day, attendees had the opportunity to network with various professionals in the industry. Those interested in learning more about S&OP, Planning, Supply Chain Design, or AI & New Technology were able to discuss these topics with Optilon experts in the field.

These interactions did not only foster valuable connections but also inspired new ideas and collaborations within the supply chain community.

MINGEL & NETWORKING

In addition to the matchmaking segment, attendees had the opportunity to connect with like-minded professionals while enjoying delicious food and special supply chain-themed drinks. We also had an Optilon reporter mingling with the crowd, who asked the participants questions about future trends—stay tuned for those insights!

KEEP AN EYE OUT

If you missed the conference or want to share it with a colleague, we have gathered all the inspiring keynote presentations and mingling photos, which will be launched soon! Follow us on LinkedIn to be the first to know when they go live.

As the holiday season approaches, there’s no better time to catch up on some of our most popular spring articles. We’ve handpicked three top articles, perfectly summarized for a relaxing read in your summer hammock. Dive in and enjoy!

How to balance global and local in supply chain?

The transition from a solely global to a more balanced global-local supply chain is not without challenges. However, it is a necessary evolution to navigate the multifaceted global business landscape. But how? Here are 4 steps on how to balance global and local in supply chain.

The first step is to carry out a scenario analysis of local versus global needs. Network Optimization models can be used to analyze how different levels of glocalization impact your supply chain. The second step is to optimize cost, service, and risk adjustments. Network Optimization models can analyze cost trade-offs between global and local strategies, such as transportation, customs, or local compliance costs.

Want to learn about all the steps? Read the full article here!

5 supply chain trends in 2024 you shouldn’t Ignore

A lot is happening in the world right now. Understanding these changes, how they affect our businesses, and the critical role the supply chain plays is essential for navigating the future and maintaining market competitiveness.

This article outlines five supply chain trends for 2024 by supply chain experts Anders Remnebäck and Fredrik Jersby that you shouldn’t ignore. The first trend they mention is that robotics and autonomous vehicles will revolutionize last-mile delivery. They also believe that AI and automated decisions will soon replace humans in various roles.

Want to dive into all the trends and learn more about how they can affect your supply chain? Read the full article here.

7 tips to successfully go live with your new supply chain planning system

In today’s fast-paced business landscape, optimization is key, especially in supply chain. With the right system in place, companies can boost efficiency and ultimately drive greater success.

Yet, rolling out a new supply chain planning system is a complex task – and pushing that button can feel quite daunting. To pave the way for success, read the full article to get all the seven tips to help you go live with your new supply chain planning system.

We are wishing you a wonderful summer filled with relaxation and a lot of insightful reading! And pssst! Don’t miss signing up for the Optilon Supply Chain Conference 2024 in September! You can find everything about the event and how to sign up here.

See you there!

Why ABC classification is outdated – and what method to use instead

7 tips to successfully go live with your new supply chain planning system

Customer Case: How Nissens optimized their S&OP process to drive efficiency and growth

Hi Stefan! You recently attended the CSCMP EDGE conference in Nashville. What trends do you see coming from there?

How do the challenges faced by companies in Asia or the US differ from those encountered by businesses in Europe and the Nordics?

Are there specific areas where Nordic companies are leading, and others where they might be falling behind?