After 20 years of investing time and money in their supply chains, most organizations have a less competitive supply chain than in 1980. For example over the last 20 years in the US retail industry, the percentage of products marked down has tripled, while consumer satisfaction with product availability has fallen.
The ongoing focus on efficiency has driven most organizations to trade-off agility for reduced cost; the few organizations with a winning supply chain have achieved both agility and competitive cost.
The few companies with a winning supply chain have embraced the supply chain pyramid; they have achieved agility and competitive cost; and they have implemented One Plan, Sharing Information, and Positioning Inventory & Capacity.
From our experience of achieving winning supply chains, there are changes that have a disproportionate improvement impact. These critical improvements can be identified rapidly through a data-driven supply chain diagnostic, which will define a prioritized plan of action and the compelling case for change.
This article is part of HCL EAS's Supply Chain Management Process. To view other articles in this process please visit the Supply Chain Management page.