A number of
key trends are becoming notable related to supply chain management:
- Future supply chains must seamlessly integrate the digital and physical worlds of customers, partners, suppliers and other key stakeholders.
- Supply Chain management gains increasingly strategic importance and functions as value driver.
- SCM helps mitigate decisions and fund allocation across business functions.
- Increased vertical integration takes place where companies get into their customers’ and suppliers business to dominate value chains and redraw lines of competition.
- CSR and Sustainability evolves from an add-on/ nice to have to a crucial business necessity (license to operate, branding, risk management, cost-efficiency, new business opportunities/ additional revenue, etc.)
- The value chain becomes demand driven and combines Supply Management (Manufacturing, logistics, supply planning and sourcing), Product Management (R&D, engineering and product development) with Demand management (marketing, sales, demand planning and services). This system of technologies and processes senses and responds to real-time demand signals across a supply network of customers, supplier and employees.
- Operational Excellence (Key metrics: perfect order rates and total supply chain costs) and Innovation Excellence (Time to value and return on new product launch) a key success drivers for supply chain management.
The
Hierarchy of Supply Chain Metrics: Operational Excellence
Hierarchy
of Product Metrics: Innovation Excellence
What other trends do you see in supply chain Management and what Approach, methodologies and Metrics do you use?
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