Sustainable Supply Chain Framework - References Architecture Part 2/3

Hi all,

last time we looked at the different Solution Layers of the Reference Architecture. This time we cover the Solution Life Cycle dimension.

Solution Life Cycle

A solution goes through multiple phases from idea to design, to build, to operations. A solution life cycle starts with discovery of a sustainability challenge or opportunity and ideation of solution ideas.

It is important to be sure the challenge or opportunity is properly understood, before switching into solution ideation mode. Design Thinking as a methodology can be used in the "Discovery & Ideation" phase. Although this phase could be done by the organization alone, it is recommended to co-innovate through collaboration in an ecosystem. Industry associations and communities of interest play a key part in bringing together a diverse set of stakeholders with different expertise and perspective. A non/pre-commercial eco-system structure allows the open exchange of ideas and knowledge and can even produce the creation of a consortium that solves a specific problem. An example here is Catena-X where the global automotive supply chain exchanges data. Catena-X is currently extending its scope also to CO2 footprint data.

?In the "Strategy Design" phase the identified challenge or opportunity is integrated in an existing digital strategy, where it is prioritized as part of a use case portfolio. Introducing new topics into an organization is always a challenge, especially as knowledge and understanding is scarce at the beginning. Here, setting up a Center of Excellence and creating a dedicated digital sustainability strategy can not only make sense, but is probably key to establish the Sustainable Supply Chain Framework as an approach to define and execute a strategy that enables and drive the sustainability transformation of the supply chain. Once established the CoE and Digital Sustainablity Strategy could be integrated in existing organizational structures and strategies.

Once the sustainability use case has funding and create to be implemented the "Solution Implementation Phase" kicks in. The use case implementation will be managed in form of a project or program and those execution vehicles are well established in most companies. It does not make sense to reinvent the wheel here, so the sustainability use cases are implemented like all other projects in the organization. Because digital sustainablity may be new to an organization the existing structures and processes should be assessed, if they require changes. This is especially relevant for program/project management, enterprise architecture and the digital solution development life cycle. There often external partners are used that bring their own methods and approaches to the table, so a thorough analysis is needed to ensure the execution of the digital sustainability activities does not encounter unnecessary stumbling blocks.

Once a digital sustainability solution for a use case is implemented, it can be released into "Business & Technology Operations", with technology does not only mean information technology, but also operational technology and asset technologies. If IT, OT and assets are managed by different parts of the business there is the risk that operations from a use case perspective is not integrated with the risk of a sub-optimal operational performance from an end-to-end perspective. Therefore as part of a business and technology assessment, change to operations may be necessary. Of course at this point, with the solution ready to be deployed it is a little bit to late, which may also be true to changes during solution implementation once the use case solution is ready to be implemented. Therefore a Digital Sustainability Strategy is again a big enabler to change existing structures and processes in the organizations for a smooth implementation and operation of the sustainability use cases.

During the solution life cycle, it is always good to remind all ecosystem partners why they are doing this and how it generates business value for everyone. While collaboration can have a negative impact on the timeline of implementing a solution, the quality of the solution will be better and there will be synergies for individual organizations created that would not be possible with a “isolated” approach.

That's it for today. Thanks a lot for reading and as always I very much appreciate your comments, as well as spreading the word about this newsletter.

There is one more thing :) I was wondering if this group would be an interest to have a monthly calls, maybe one week after the newsletter is published, so we can discuss the topic covered in an more interactive way. Please PM me, if you would be willing to invest an hour per month to talk about sustainable supply chains.