The growing importance of supply network collaboration

Published July 18th, 2007 by Randy Littleson 0 Comments

There’s a post here at the site uyriputyeruit talking about supply chain collaboration. I added a comment at the site, but thought I would post it here also.

*** my comment below ***

Good post – and agreed. In today’s highly distributed supply networks, collaboration amongst people is essential.

With so many things changing – demand, supply, product – every day and at an increasingly rapid and frequent pace, your ability to respond to the unexpected increasingly determines your success with customers and in the marketplace.

Historically, collaboration has focused predominantly on system-to-system collaboration where transactions are automatically shared between two parties. While there’s certainly value in that, the more urgent need is to respond to the situations where the transactiosn represent a problem (for example, a transaction goes out indicating a need for an additional 100 products by Friday, and a transaction comes back saying only 50 can be delivered). Now what?

This is where people come in – to make the right tradeoffs and compromises to respond to the unexpected. An, when the supply network is distributed and made up of multiple parties, it’s going to require multi-enterprise collaboration to coordinate an effective response.

Today’s realities are placing an increasing emphasis on people-centered collaboration to respond to change.

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