Supply Strategies & Capabilities

Commitment to the implementation of Supply Management - with strategic plans; people & organization; and, information systems fully aligned to this commitment.
 

	The concept covers progress on the key issues of developing a clear strategy putting in place all the key supporting processes developing the appropriate measurement tools into a full scorecard developing the supporting information technology clarifying how the organization will develop supply relationships with trading partners ensuring the company's organization can cope with Supply Management The concept stresses the need to develop these issues in parallel.
While the optimal organization structure will vary depending on the company's strategic intent and the specific category's role, a number of principles hold generally true: internally, supply management requires true cross-functional working, be it within manufacturers or retailers; joint supply management requires a new type of interface structure between manufacturers and retailers; and	performance measures need to be re-aligned from narrow functional criteria to measures which focus on end-to-end supply chain service levels, balanced with cost and inventory. The scorecard looks at the evolution of internal and joint strategy development.