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Agility is a function of the fundamental Supply Chain capabilities.
A question I have been asked often is… ‘How do we get more agile?’ When I ask them about their thoughts on it, the common answer is implementing a cutting edge state-of-the-art planning system.
While visibility and concurrent planning do help in cutting down some delays in execution, it is only the first step in the agility journey. Once these low hanging fruits have been plucked, we must work on improving the fundamental supply chain capabilities.
The three basic questions defining agility are
It is important to assess the current level of capability in these three areas and institute the Process of Ongoing Improvement to focus on these capabilities, especially at the leverage points.
To summarise, Demand Sensing, Responsiveness, and Flexibility define how agile our supply chain can be.