Supply chain management is a complex exercises. It takes a lot of time, trials and errors, reviews and alterations of tactics to find the right strategy. You should not make random changes to that strategy unless it is absolutely necessary. Many companies have proactively and voluntarily tried to transform their supply chain management strategy and in the process have adversely affected a perfectly functional apparatus. Continue reading Don’t Alter your Supply Chain Management Strategy unless it is Necessary
Supply chain management can be simple or complicated. If there is a relatively short supply chain with only one or two suppliers, then the procurement can be simplified and the whole process may be easily manageable. This is not to say there will be no complications at all. There are always expected and unexpected surprises along the way. A large supply chain, especially when it comes to rare materials can be daunting to deal with. There are many widely known best practices that you must incorporate in your supply chain management. However, you cannot blindly endorse any practice or simply institute a practice without customising it. Continue reading Adapt Customized Best Practices of Supply Chain Management
There is no standard definition of what constitutes as perfect supply chain management. The industry, the types of goods being handled and the scope of operation shall determine the attributes of perfection. What can be standardized are five key performance indicators that should serve as a foundation to assess if a supply chain management strategy is working well. These five key performance indicators are measurable, hence assessable and improvable. Continue reading Five Measurable KPIs for Perfect Supply Chain Management
Supply chain management can have a linear or nonlinear operation. If it is linear, the processes are somewhat simpler and straightforward but there are many challenges that should be deftly dealt with. If the process has to be nonlinear, then there can be some daunting complications. A nonlinear supply chain does not necessarily mean there would be any back and forth process. The vendors may attend to their independent roles and contribute in a particular way at different stages of procurement, manufacturing, supply, fulfilment or delivery. It is quite possible for a nonlinear supply chain management strategy to factor in back and forth exercises if there is a need for a supplier or vendor to chip in after delivering on its promises if its role is incomplete and has to follow up after another party has done its bit. Continue reading Should the Entire Supply Chain Management Strategy be Proactive?