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Where should you start your supply chain transformation journey?
The pandemic has nudged many companies to fast forward their supply chain transformation projects. However, their approaches differ widely. Some teams focus on technology and want to go for a digital transformation of their supply chains. Some others give more importance to agility and want to implement agile supply chain practices. A few teams would look at the major pain areas during the pandemic and decide to undertake partner collaboration initiatives. Is there a way to find out where to start the journey?
My experience suggests that the best place to start the supply chain transformation is the customer end. Most teams found a gap in their customer service during the pandemic. Plugging it to settle at a higher customer service level sets off a whole set of improvement initiatives, which progressively move to the back-end operations. Some of these initiatives may require digital solutions, some may require agile concepts and some other may require partner collaboration. These should be need-based and firmly focused on improving the final customer outcome.
Starting with the customer makes the transformation more manageable, where the pace can be set by the capabilities of the supply chain team.