In an effort to add my part toward accentuating more positive news, in whatever dimensions, this is the second of our ongoing series of posts related to what we can find as positive news and developments across global supply chains.

A Wall Street Journal article outlines that after receiving contracts for new optical fiber from Chinese telecom carriers, Corning Inc. is rehiring about 100 workers at two plants in North Carolina.  The article also highlights that demand has been described as  ”tight” for LCD flat-screen television screens world-wide, and that Corning plans to “relight” idled production to increase output in the second-quarter.  While Corning had previously laid-off 3500 of its employees, this select re-hiring news is certainly encouraging.

Another Wall Street Journal article outlines how employee owned Publix supermarkets  has put short-term profitability aside during the current severe downturn. Publix remains at full staffing levels, maintaining its superior customer service, while lowering prices for financially challenged consumers.  The company has the U.S. supermarket industry’s second highest annualized sales per square foot, and a customer approval score of 82 out of 100, without laying off employees.  I myself have shopped at Publix’s in my visits to my daughter’s home in Florida, and can well attest to the Publix experience. There is something to be said for having the flexibility to be a privately owned company.

You can  help to continue these series by sending me links to more positive stories.  The email address is bferrari at blog1 dot com.

 Bob Ferrari

There was an important announcement that may capture your attention if you are an individual member of APICS (The Association of Operations Management), or if your company holds a membership to the Supply Chain Operations Council (SCOR).  Both organizations have agreed to provide uniform member-discount access to each others training and certification programs.

What does this mean, you ask?

If your company has a SCOR membership, you will receive APICS member rates for all certification exams, including the CSCP (Certified Supply Chain Professional) exam, as well the APICS International Conference and certain other designated events.  If you hold individual membership in APICS, you now can take advantage of member rates for SCOR training programs, including SCOR model certification.  APICS members can also participate in the SCORmark benchmarking program, which provides organizations the ability to rate their performance within database of industry-specific SCOR performance metrics.

You can view more detailed information at either the SCOR or APICS designated explanation website pages.

In my view, this announcement is yet another reflection of the reality of the current recessionary economy worldwide.  Both organizations are feeling some effects on membership renewals, and want to respond to member needs for broader value in a professional membership. Discounted access to each other’s training is a first step. 

I can envision broader opportunities as well.  SCOR has a major initiative underway in identifying future supply chain skill requirements under the Global Supply Chain Professional Development and Skills Committee.  It would be great if the findings of this SCOR effort can be an input to future CSCP certification. 

Before my readers speculate, let me further clarify that this announcement is not a merger, but rather a pragmatic business decision that meets mutual benefit.  SCOR gets broader exposure to its SCOR Model training programs and APICS can broaden its availability of supply chain training offerings as well as the potential to access a deeper body of supply chain knowledge.

Another obvious question for readers is whether this a sign of broader relationships among professional groups that umbrella our profession? What about the Council of Supply Chain Management (CSCMP) and the Institute of Supply Chain Management (ISM), both of which offer training, conferences, and a body of knowledge to supply chain management professionals?  When will they reach out for broader value for members? Only time will tell.

In the meantime, take advantage of this specific opportunity.  You are also welcomed to share your reactions in the comments section related to this post.

Bob Ferrari

Full Disclosure Statement:  I am a professional member of APICS, CSMP, and SCOR.  I also currently serve as a volunteer member of the SCOR North America Leadership Team, as well as the APICS CSCP Certification Exam Review Committee.

Readers may recall that in December, Supply Chain Matters updated our readers on the failed acquisition by JDA Software for i2 Technologies.  In this previous update post, I indicated my view that i2′s senior management had but two strategic options in light of the failed acquisition  I viewed those options as either a re-initiation of talks with other potentially interested acquirers, or decide to move-on with operations until the financial climate improves. The company also needed to find a way to appease existing investor’s debt, along with employees concerns.

It now appears that i2′s strategy is to generate as much cash as possible, from as many sources as possible.  On December 31, i2 closed the year with $243.8 million in cash vs.$228M in Q3, a hefty sum for any mid-sized software companies today.  Almost $100 million of this cash came from a previous $80 million patent infringement settlement with SAP, and a $20 million settlement with JDA Software for non-performance of the prior acquisition attempt. The company also announced an agreement to payoff certain bondholders.

The latest news from i2 is that they have filed yet another patent infringement suite, this time targeting Oracle. The company alleges that Oracle has infringed on 11 patents related to various aspects of supply chain planning software, and is filed with the same Texas friendly court as occurred with the SAP infringement lawsuit a few years ago. There were many who doubted that i2 would prevail in its IP lawsuit, and SAP ultimately decided that settlement was the best course.

So perhaps i2′s current senior management is embarking on a strategy to generate cash in many dimensions. Heck, if you can get $80 mil.from SAP, who knows what you can get from Oracle. 

What comes next for i2 will be interesting to observe since having lots of cash leads to rather interesting strategic options, especially if you get away with suing two of the biggest players in supply chain software.

Bob Ferrari