OPTIMIZING CONNECTIVITY

Optimizing Connectivity to Enhance Sustainable Supply Process Improvement

Every human being has a deep desire or quest for better connectivity at every level—whether in their career, personal goals, social life, levels of influence, political interests, market dominance, or innovation. Humans require better connectivity to function and deliver in every aspect of their lives.

In my journey as a researcher and entrepreneur, I experienced a “Eureka” moment when I discovered the power of this vital element called connectivity. It is an interesting phenomenon that many people practice daily yet often underestimate its importance. Connectivity, in the world of supply and demand, business and economics, and technological innovations, plays a crucial role in matching needs and wants in our society.

For instance, when producers are connected to the right buyers through the appropriate distribution networks and channels, the world of commerce starts to make sense. This matching ensures that consumers’ needs and wants are fulfilled efficiently. In supply processes, supply experts or managers must build sustainable connectivity strategies that eliminate waste—whether in the form of time, resources, or bottlenecks—to optimize supply operations. This is why I chose to explore this fascinating phenomenon of connectivity.

In my business, social, and academic encounters, this connectivity phenomenon has intrigued me and pushed me to think outside the box. I rediscovered that the things we value in the pursuit of success, whether in business or other life spheres, are deeply influenced by the power of connectivity. Connectivity impacts all aspects of modern society, from social services to technology and industry processes. For instance, if connectivity within an organization’s communication channels is weak, information relay will not be efficient, leading to poor service delivery. Similarly, in a supply process, poor connectivity in logistics support services leads to inefficiencies in goods movement, jeopardized order processing, and the emergence of bottlenecks.

Connectivity is simply the quality, state, or capability of being connected or connective. Why is this so important in supply chain management? The ability to deliver supply depends on how well two points are connected—the sender and the receiver. An organization’s capacity to interlink its suppliers with its supply needs and to match these without creating excess or deficit is essential for satisfying market demand and achieving goals.

Key Strategies

1. Develop a Cause-and-Effect-Based Supply Connectivity Strategy

Camouflaging supply connectivity is fundamental to building an effective and sustainable supply strategy. Sustainability should always be part of the master plan to ensure continuity and process flow in supply planning. Specifically, it is crucial to develop a cause-and-effect connectivity strategy, particularly in relation to the Triple Bottom Line, where People, Product, and Planet influence supply management strategies.

For example, before launching a new product or distribution process, a cause-and-effect supply connectivity plan must be developed to mitigate any negative effects triggered by defective causes. Organizations are often tempted to prioritize profit at the cost of the environment, which can result in backlash from communities due to environmental degradation. This backlash can create bottlenecks that negatively impact business revenue. However, by optimizing supply connectivity through a cause-and-effect-based strategy, organizations can simulate and implement measures to counteract negative effects, ensuring that the supply process has “shock absorbers.” Supply leaders must plan for how their consumers are connected to their company’s profit and address any potential issues proactively.

2. Integrated Data Connectivity

We live in a digital world where supply chains are driven by data. The extent to which this data is connected to long-term or short-term strategies will determine the sustainability of supply strategies. It is possible for an organization to know its customers’ needs and spending patterns but fail to connect this data with other influencing factors. For example, evolving migration patterns might impact consumer behavior in a given market segment. If supply leaders miss data about such patterns, they risk either surplus or deficit in projected demand for that market, leading to inefficiencies. Oversupply or undersupply often stems from missing data connectivity.

3. Efficiency-Centered Connectivity

In Africa, flying from one country to a neighboring country is often more expensive than flying to international destinations. For instance, it is cheaper to fly from Johannesburg to Paris than from Johannesburg to Lagos. Similarly, distributing goods within Africa is more expensive than shipping goods from China to Africa due to inefficient connectivity processes.

Even in North America, it is more costly to travel across the country than to Europe. These examples highlight the importance of efficiency-centered connectivity strategies. The higher cost of services in certain regions does not necessarily guarantee efficiency. Supply experts must build long-term, efficiency-based connectivity strategies to improve supply processes.

For instance, even though airline ticket prices in Canada are high, inefficiencies like canceled flights and delayed services persist. This reflects a lack of an efficient connectivity culture. Supply leaders must develop a culture that prioritizes efficiency in connecting supply processes to ensure the smooth flow of goods and services.

Conclusion

Connectivity is a critical factor that impacts every aspect of modern society. From communication and logistics to data integration and sustainability, the ability to connect effectively determines the success of supply chains. By adopting cause-and-effect strategies, integrating data connectivity, and prioritizing efficiency, supply managers can optimize their processes, eliminate bottlenecks, and build resilient systems capable of meeting evolving demands.

By Lazarus Mnyamani- Business Leadership &Supply Strategy Practitioner. (Email:[email protected])