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"Accelerating the deployment of supply chain strategies"

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Understanding Strategy Alignment

Definition

Supply chain initiatives cut across lines of ownership, functions, departments, geographic boundaries and cultures. Everybody needs to be “singing off the same song sheet” in order to realize the benefits touted by your supply chain initiative.

For example . . .


Procurement is looking to reduce the number of PO’s issued and is leaning hard on suppliers to deliver the full PO on time. Logistics & distribution is looking to lower storage costs. Result: Suppliers deliver this weeks requirements as well as the remainder of the entire contract and show up at the warehouse on Monday am. Of course there’s not enough room . . .


Value

Information technology is heading in one direction, operations heads in a second direction while sales and design cuts their own trail. Progress in all areas is slow at best. Align strategies to:

  • Present a united force to the competition
  • Accelerate improvement initiatives
  • Improve shareholder return

Applying

Supply chains which contain incongruent strategies never deliver to potential. Objectives and policies must always be examined when looking to increase performance.
It often helps to ask the question,’How do all the STAKEHOLDERS benefit over the short and long term?



 

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