Three simple pre-requisites for effective supply chain transformation

Supply chain transformation projects often fail to live up to their expectations. I have witnessed several such instances and discussed the nuances with the leaders and team members.

My analysis reveals three simple pre-requisites for an effective transformation.

The first one is curiosity. Do we know what’s happening in the market? Do we know how various channels are shaping consumer purchases? Do we want to know faster? Demand Sensing helps us in this regard.

The second one is care for customers and consumers. Are we internally focused or consumer focused? Are we pushing for cost reduction or service improvement? Are current measurements coming in the way? Are we willing to give stale (less fresh) products to consumers to improve production efficiency? Choice of objective often goes wrong.

The third one is courage to do what we think is right. Are we willing to go on the path less travelled? Are we protecting our back by copying what the industry leaders are doing? Are we willing to refresh the demand outlook more often?

Projects where these three pre-requisites were in place have seen massive success. Struggling projects, on the other hand, have one or more of these pre-requisites lacking.

What do you think?