Top issues in supply chain management
Supplychainer has a post talking about the top issues on the minds of supply chain people. According to the post, the list includes:
- RFID: Invest or not invest?
- How to persuade the partners in the supply chain to share their data so that they can proceed with all types of optimization tools e.g. network design, or simply CPFR.
- Contract management in such a way that working capital becomes minimum (late payment can be one option).
- Lean six sigma: should I go for it?
- Cope with the challenge of globalization in supply chains: (all types of problems from different regulations to standards and visibility issues).
- Supply Chain Risk Management.
I added a comment to the site and have included it below as well.
** My comment **
I think you have a good list. A couple of other things I see as big challenges are dealing with demand volatility and ever shortening product lifecycles. When you combine these factors together, companies are really challenged with dealing with the amount of change that is taking place.
Most companies have invested in processes and tools that focus on execution - running the business like clockwork. But increasingly the business challenge is dealing with the business when it doesn’t run like clockwork. Very few companies have implemented a viable solution to do so - a solution that empowers their people to respond quickly and effectively to change.
While supply chain management has traditionally been very focused on reducing costs, I also find that companies now are trying to also find ways to leverage their supply chain management effectiveness to drive top line revenue growth and customer satisfaction. Again, the need to respond to the unexpected is at the heart of their ability to accomplish this.
