A world-class transformational supply chain begins with a network that has an overall view of the various business areas that manage the delivery of products to customers.
An optimised supply chain network results in significant capital, operational and tax savings, while achieving optimal customer satisfaction.
In this blog, we look at a few practices and critical elements that lead to successful supply chain networks.
1. Redefine the Supply Chain Strategy
Global markets, intense competition, rising costs and increasing customer expectations drive the complexity of supply chain strategies. In this demand-driven context, it has become essential to re-evaluate your supply chain network design on a regular basis.
A clear and concise supply chain strategy must be fully aligned with your business strategy and placed before the network’s design.
This strategy will become the blueprint for other considerations such as reducing network costs, minimising capital, improving operating margins and enhancing the customer experience.
2. Focus on Total Profit Optimisation
Traditional network optimisation projects define the objective as reducing costs and maintaining customer service levels. Today’s complex supply chain networks strive to maximise profits and drive shareholder value, while also increasing customer satisfaction.
Total profit optimisation for your supply chain can be achieved by analysing alternative operational scenarios and streamlining processes, and considering working capital, operating expenses, tax effectiveness and profit margins.
3. Think Ongoing Optimisation
Supply chain networks evolve over time: market needs change, product lines shift, companies integrate, and new technologies disrupt the status quo. Supply chain optimisation needs to be an ongoing process.
Focus your supply chain optimisation on the adaptability and flexibility of the network and ensure that objectives are met consistently in a range of market conditions, while enhancing profitability and the key drivers of shareholder value.
Resolve Solution Partners is involved in all aspects of supply chain optimisation, from initial analysis to implementation and subsequent sustainability phases.