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Chaos Theory has good learnings for Supply Chain leaders.
Supply chains are expected to face environmental chaos from time to time, which can’t just be wished away. These should be mitigated through proper inventory and time buffers.
Chaos Theory has another useful implication for our supply chain actions. It says that if a butterfly flaps its wings in Australia, it can cause rain in the Amazon forest! Small actions can have disproportionate impact on outcomes.
That’s why OTIF is such an important measure. We should stick to what we commit. A little underperformance on OTIF can have a cascading impact not only on that customer but on a lot many other customers as well.
On the flip side, if we go out of our way to accommodate special requirements of a customer, it could possibly bring huge benefits to the business in future.
Let’s continue to take such small actions in the right spirit and help our business grow!