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Customer fulfilment issues are systemic, not functional.
Most Supply Chain teams spend a lot of their time and effort in improving customer fulfilment. Gaps in fulfilment are analyzed and sorted into the underlying reasons and each function starts working on their part of the issues. This practice has been going on for a long time, but the fulfilment remains at the same level. Why is that?
Improving individual functions to improve the overall systems performance just doesn’t work. That’s because the functions are interdependent, and the underlying issues are mostly systemic, not functional.
We should consider the entire organization as a system and identify the constraint which is limiting its performance. In most cases, the root causes lie in certain policies and practices, which need to be changed to let the system performance flourish!