The idiots guide to supply chain trends

I recently read an interesting article from the Association for Supply Chain Management (https://bit.ly/3ylPzxz) on supply chain trends for 2023 as well as a similarly insightful article from EY (COOs unlock supply chain success with humans at center | EY UK).?

These articles have inspired me to put my own thoughts on paper – here are my big five trends for the next five years.

There is no such thing as a supply chain.?So, after offending my entire audience I will explain what I mean. We have stop thinking and behaving linearly.?My creed, reinforced in recent times, is a network approach needs to be integrated into any assessment and management of a supply chain network.??

Turn the dial and think about the network implications.?You will be surprised what you uncover.

Big data matters but big information matters more – there is no doubt that there is a lot more data available to help manage supply chains. However, I have seen many organisations lean into big data without a sense of strategic purpose, apart from it looking pretty on paper. Big information should provide a solid foundation for supply chain network management.

Big data should flip your thinking from understanding your supply chain to understanding your supply network.?

Supply chain is a strategic function – communicate and behave strategically. The current trend is for supply chain network to be elevated to the ‘top table’ as it critical to organisational success. Supply Chain should sit at the ‘top table’ as it contributes strategically and not because everyone thinks it is important.?To contribute strategically, we as supply professionals, need to think, act, and communicate strategically.?Earn the right to be at the ‘top table’ by being strategic and communicating strategically.

Supply chain is a fundamental pillar in many organisations.?Therefore, the function needs to take a strategic perspective of how they support the organisations objectives.

The rise of the Skywalkers Risk – most of us have always considered risk as part of the procurement process.?The impact of COVID-19, coupled with the recent geopolitical disruptions (i.e., the war in Ukraine) created chaos in many supply chain networks.?This has elevated the visibility and necessity to manage risk. In all honesty, we need to do better at thinking and articulating risk.

Risk needs to be evaluated across the organisations value chain.?More importantly, the risk lens needs to focus on articulating the implications of strategic supply chain network decisions.

Sustainability and ethics are real – I am not going to preach here, and I am sure you are all making fact-based decision around your supply chain. What I am predicting here is that the spotlight will be pointed at directly on supply chain network to make sure that the decisions and interventions are real and do not just involve planting another million tree in Amazon to offset emissions. Real issues need real interventions.?

Sustainability and ethical decision making will increase in relevance.?Interventions will need to have a real and measurable impact.