Agility supply chain

As companies answer these questions and build their supply chain strategies, it is time to look forward. We can learn from history, but need to forge the path forward to drive differentiation. Before we can run the race, we must train. This training requires behavioral modification in three areas building supply chain agility, learning how to listen and learn, and valuing process innovation. 

Agarwal et al. (2007) review the literature on supply chain agility, touching some of the components of DDSC like lead time reduction, market sensitiveness, new product introduction, and propose to apply Interpretive Structural Modeling (ISM) to show the interrelationship of different 15 variables to supply chain agility. 

Operational execution efficiency Employee safety performance Supply chain cost performance Supply chain agility Supply chain resiliency Demand driven focus... 

White, A., Daniel, E.M., Mohdzain, M. (2005). The role of emergent information technologies and systems in enabling supply chain agility. International Journal of Information Management, 25(5), 396-410. 

Reconfigurability is a required property to ensure supply chain agility and to enable service-oriented supply chains. For the purposes of this book, a reconfigurable supply chain is defined as ... 

For example, one capability that is now regarded by many companies as fundamental to success In the marketplace is supply chain agility. As product life cycles shorten, as customers adopt just-in-time practices and as sellers markets become buyers markets then the ability of the organisation to respond rapidly and flexibly to demand can provide a powerful competitive edge. This is a theme to which we will return in Chapter 5. 

The challenge to logistics management is to create appropriate supply chain solutions to meet the needs of these ditferent value segments. More than likely there will be the need for multiple supply chain solutions since one size will not fit all . This issue will be dealt with in detail in Chapter 5 where the concept of supply chain agility is discussed. 

Poesche J (2001) Agile Produktion - Voraussetzungen fur das Supply Chain Management in der chemischen Industrie, FB/IE 2 65-70. 

Thus, the supply chain management through a multiagent system allows the creation of an agile network which reacts in real-time to customer demands, compared to traditional systems, where everything is decided before the client makes the request. 

Combined with the three leverage drivers of reliability, efficiency and logistic agility - sources of social, economic and environmental benefits - the eco-logistic lever strengthens the contribution of the supply chain to the social and environmental aspects of sustainable development. 

While companies attempted to implement best practices over the last 30 years, they are now grappling with the fact that many Y2K projects built an efficient supply chain without resiliency. These investments made the supply chain strong, but not agile. Today, most companies have processes that can respond, but cannot adapt. They are too rigid. They cannot sense and adapt to market shifts. This is the basis of the drive to create market-driven value networks. 

He continued, "It has been fonndational for our success. For most of our company s history our direct business model—and the agile supply chain that drove it— were key differentiators for Dell. Constant feedback from our customers, partners, and snppliers gave us the insight that we needed to fine-tune our operations and deliver only the products and services that our customers wanted."... 

Tried to get precise on imprecise data. Supply chains of the future will be based on ranges, they will dance agilely with error and adapt to changing supplier demands. The future is not the integrated supply chain instead, it is about new forms of predictive analytics to deal with uncertainty. 

Agriculture. These supply chains are driven by the dynamics of agricultural cycles—preparation, planting, harvest, and packaging—and weather. As a result, these supply chains need to be designed for agility around these four moments of truth. 

Consumer packaged goods (CPG). The most common type of CPG supply chain is based on flows turn volume, promoted volume, and new product introductions. Hirn volume (frequently ordered products with stable demand) supply chains are designed to drive an efficient response. Heavily promoted items require a responsive supply chain and new products need an agile supply chain. New product introductions introduce the greatest variability and risk. The challenge is adapting the supply chain over time as companies launch promotions and new products into the market. 

Pharmaceuticals. These supply chains are driven by usage. These companies often have three supply chains. There is a need for an efficient supply chain products that have low variability and stable demand. There are products in the innovation pipeline or in clinical trials that depend on an agile supply chain. There is also a need for a high volume supply chain with high variability. Why We will never be able to predict when the sun will shine for the sale of suntan lotion or when there will be a flu epidemic. 

Quadrant IV Agile Supply Chain Lean for Make to Qrder... 

In the early years, there were many ups and downs. In 2000, the company was taken private to re-enter the market in 2002. Over 15 years, the Seagate supply chain was redefined to improve agility for a high-volume business with high-demand volatility. There were four stages. 

Go slow to go fast. One of the most important lessons that we hope companies can learn from this chapter is that snp-ply chain transitions take multiple years. Seagate built agility in their supply chain over 15 years of concentrated redefinition of manufacturing processes. Procter Gamble reorganized supply processes to report to one leader three decades ago. Many companies limit potential by focusing on a quick implementation. 

To run the race for Supply Chain 2020, companies need to train. Like an athlete training for a competition, the teams need to be agile, to listen to coaching, and to make the right investments. Most organizations need to work on these three behaviors to have the right stuff to win the race. 

The first step is a readiness assessment. The supply chain needs to have strength, agility, and balance. Most do not. 

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