Obstacles to Successful End-to-End Supply Chain Capabilities

While many supply chains have managed to achieve cost efficiency, a lot of them are failing to make progress when it comes to end-to-end operating capabilities. Here is a look at a few of the problems that hold up the supply chain maturation journey.

Stuck in Silos

Despite recent advancements, many supply chains still find themselves stuck in silos, whether they are technology, data, functional, process, or organizational silos. This lack of integration and disconnected end-to-end visibility keeps many supply chains from moving forward with their operating model capabilities. This is where an overarching, end-to-end supply chain architecture that is based in the cloud can prove useful.

No Strategic Leadership Vision

When a business does not have a single individual taking the reins and pushing for value to be created with a focus on supply chain management, it is easy for supply chains to get stuck in their ways. Controlling costs is a worthwhile effort, but other areas of the business also merit focus. Connections, processes and information should all be aligned in order to reap maximum benefits.

Settling for Demand Sensing

The perfect order, wherein the right product is in the right place in the right quantity at just the right time for a buyer, is an admirable goal. However, firms can also shape demand by taking control of factors such as pricing and availability by analyzing customer insights and using end-to-end supply chain management. Instead of merely knowing when and where there is excess inventory or stock outs in the system and reacting to that, companies need to be proactive. A digital ecosystem and end-to-end architecture can help businesses to get away from process and information silos and take advantage of the analytics, end-to-end visibility, and execution capabilities that can bring about true growth.

One lesson that can be learned from the world’s most efficient supply chains is that successful supply chain management entails integrating processes, technology and people around scalable digital ecosystems.

This blog post was based off of an article from Oracle Supply Chain Management. View the original here.

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