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Are Supply Chain planning and execution teams just staring at each other?
Supply Chain planning and execution processes need to work in harmony, in a symbiotic relationship. However, several companies experience a tension between these two teams. Why is it so?
The desired relationship needs to be cultivated carefully, and supported by supply chain processes, based on trust and mutual involvement. If the current processes ignore this two-way interaction, relationship deteriorates.
We often find execution teams staring at their planning colleagues, wondering why a particular supply action has been suggested, which runs counter to their prior experience, market reality and intuition. As a result, they ignore planning suggestions and follow their intuition. On the other hand, planning teams stare at their execution counterparts, wondering why their suggestions are not being followed. Sounds familiar?
How do we correct the situation and build this much-needed symbiotic relation? Execution teams are in touch with reality, the marketplace. They have daily insights about emerging demand patterns and demand shifts. This feedback needs to be built into the planning process as a fast feedback loop. The plans must be modified based on the market reality on a daily basis for most companies, and more frequently for Quick Commerce and D2C channels.
Have you built this fast feedback loop in your planning process? If not, the stares will continue…