Email
sinha.rk.dr@gmail.com
Who should publish a company’s supply chain scorecard?
Supply chain professionals in most companies have well defined KPIs, which are aligned with their internal and external customers. These are also aligned with the business head. The metrics are tracked meticulously to ensure that we stay on track by taking timely corrective actions in case of deviations.
We had a curious case in a company where the Supply Chain and Sales teams agreed that a good way to track availability was by counting the number of sku-CFA instances where opening stock was less than a day’s sale. It’s a simple measure, which is granular and can be tracked daily. The availability metric started at around 90% and improved to 99%+ through focused monitoring and actions. However, some sales team members started doubting such high numbers.
We then decided that this report should henceforth be published by the sales team. This simple change had no impact on the metric but helped improve the trust and teamwork between Supply Chain and Sales functions.
The important lesson is that performance metric should ideally be calculated and published by the internal customers.