Leading business transformation specialist, Oliver Wight, has just launched its latest white paper titled, “Supply Chain in the 21st Century”.
Addressing the failure of organisations to fully restructure and optimise their supply chains, Oliver Wight reveals why transformation is pivotal if businesses want to remain competitive in a cut-throat modern market.
In this paper, Oliver Wight Associates Birgit Breitschuch and Liam Harrington explain that many businesses have yet to fully integrate supply chain into their organisational structure, and why this is detrimental to their success.
“Often, organisations make the mistake of focusing on just the front-end of supply chain – reducing inventory, or improving forecast accuracy,” says Breitschuch, “But these are cost-reduction exercises, not profit-making activities. By ensuring the supply chain is structured in a way which can anticipate and fulfil what the customer wants now and in the future, organisations can boost sales, and thus, profits.
In the 21st Century, the paper explains that supply chains must function within a well-structured organisational framework, where automated, well-connected systems from cashpoint to manufacturer enable organisations to meet customer demand. By implementing Integrated Business Planning (IBP), businesses can strike the right balance between transformative strategy and the latest technology, to fully realise the benefits that both can bring. There needs to be a cross-organisational synchronisation and integration of strategy and supply chain, to enable sustainable success at a competitive level.
Harrington concludes, “Organisations need to embrace the latest advances and get fit for the future, or risk falling behind their competitors. Predicting the future is impossible, but planning for it is essential and most organisations should start by taking a long, hard look at their supply chains.”