Managing Supply Chain Complexity
Identifying the sources of growing complexity in your supply chain is critical to managing risk and optimizing performance. New complexities arise everyday, but a formidable few are pervasive regardless of industry or geography. As the world evolves, businesses must re-think and reinvent the way they conduct operations domestically or globally, while optimizing supply chain performance and managing risk.
Complexity in the supply chain is not only inefficient; it can have catastrophic operational and financial consequences on your company. It reduces agility, counters economies of scale, weakens profitability, lengthens lead times and inhibits growth.
Although many reasons exist why supply chains are more complex (and volatile) than ever; I've identified three of them in an article for Supply Chain World Magazine.
- Customer Expectations
- Data Overload
- Globalization
Accelerating talent outcomes and business performance - SaaS, AI, scalable personalization, & value measurement
7 年Spot on!!! I would add, "complexity" creates a ripple that drives down team performance, widens skills gaps and reduces institutional expertise across the organization.
Sales Representative at Dyna Lift Inc
7 年Having key team members in the right place. Also helping customer's. understand how much you care about meeting there industry. need.
Supply Chain Transformation
7 年Dave, You have mentioned some key causes of complexity but omitted the greatest which is management induced. All that market place volatility you describe is blown up supply chains in the form of forecast error and generates huge amounts of unnecessary variability. Forecast push replenishment is exactly the wrong way to drive supply chains - the right way is demand-driven or 'enterprise(s)-wide pull'.
Engineering Welding Superintendent > Responsible Welding Coordinator (RWC) > (CSWIP 3.0) TWI - Visual Welding Inspector Site Mangement Safety Training Scheme (SMSTS) > BOSIET Offshore Certificates > CSCS Gold > CCNSG
7 年blessings