Are we in the midst of a supply chain perfect storm?
by Randy LittlesonIf you're new here, you may want to subscribe to my RSS feed. Thanks for visiting!
Dan Gilmore at Supply Chain Digest has a thought provoking article questioning if we’re in the midst of a supply chain perfect storm. I sent a comment to Dan and have included it here as well.
** My comment **
I think your list is right on the mark. I would also add to that list the reality that everyone is facing more global competition and buyers expectations continue to go up, while brand loyalty continues to go down. I can speak from my own personal experience, which I have found to be consistent with the majority, in saying that I can do more research now before making a purchase, my expectations have gone up in terms of wanting what I want when I want it and, provided the research and referrals are positive, I’m willing to go with a variety of brands based on which one best meets my needs. So, while the supply chain environment itself is getting tougher, so are the expectations of the end customer.
I do not believe the current situation is a passing storm. I think this is the new reality. Sure, each issue will have it’s high points and low points in terms of the pressures they exert on the supply chain as a whole, but when taken together, I believe the forces we’re seeing today are going to remain into the foreseeable future. I think we’ve entered a new era of global competition that will continue to exert never before seen pressures on supply chain management.
I think these pressures are going to require supply chain professionals to rethink how they go about doing things. The old model of supply chain planning and supply chain execution excellence wins the day has been replaced by an environment where these skills need to be integrated with the ability to respond to the unplanned events that are increasingly becoming the norm. I think the market winners will plan now to deal with the unplanned.
