Wednesday, January 24, 2018

THE SUPPLY CHAIN PARADOX FOR RETAILERS AND MANUFACTURERS


The Supply Chain Paradox for Manufacturers and Retailers.  Many were content viewing supply chain management as a cost center measured primarily on its logistics costs and where technology was often under-invested.  Aside from some fire-fighting, things were good—with the good supply chain. 

Now, comes e-commerce.  Growth is concentrated there, and it is driven by supply chain management.  Supply chain management is a strategic necessity, not a cost center.  E-commerce has very different supply chain dynamics and requirements.  But resources are positioned in the old supply chain.

There is disjuncuture in supply chains.  How can these firms that are lagging in SCM change and transform into the what is succeeding?  The paradox—the good is no longer good, where supply chains are thriving, and where resources and organizations are positioned.


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