- Define and differentiate customer requirements for delivery performance.
- Analyse and determine sales channels.
- Design order management (order-to-cash).
Supply Chain Strategy
The supply chain strategy describes a company's comprehensive plan for managing the flow of goods and services along the entire value chain – from the procurement of raw materials to delivery to the customer.
Appropriate processes, technologies, organization and partnerships define supply networks that secure competitiveness and reduce risks. The strategy thus forms the framework for operational supply chain management in order to realize an optimal combination of delivery performance (service level), delivery costs and inventories.
A key challenge is to be able to flexibly adapt the supply chain strategy to changing market conditions. These can be customer requirements, new competitive constellations, or technological innovations.
In addition, economic and ecological framework conditions must be taken into account. For example, efforts to decarbonize the supply chain can lead to the identification of economic sustainability potential and risks being integrated into the supply chain strategy. In some sectors, there is a trend towards decentralization of the supply chain and the use of regionally produced components and services.
Operationalization of supply chain strategies
With EFESO, companies develop and operationalize supply chain strategies that meet their individual requirements. Our services include:
- Deriving supply chain objectives from the corporate strategy.
- Formulation of market, competition, and environment scenarios.
- Recording the current and future requirements of the supply chain.
- Development of differentiated supply chain strategies (incl. supply chain segmentation).
- Integration with digitalization initiatives in all operations areas.
- Assessment and specification of the supply chain strategy.
- Presentation and discussion of best practices.
Together with our clients, we define the goals and framework conditions for operationalizing the supply chain strategy. The focus can be on the following fields of action:
Customer requirements and customer experience
Global and regional orientation
- Select production locations and determine desired degree of autonomy.
- Design integration into production and supplier networks.
Smart Supply Chain Management
- Define supply chain requirements for the IT strategy.
- Define the level of digitalization and automation for the supply chain(s), e.g. AI for decision support or supply chain control tower for E2E transparency.
Procurement strategies / comparison of variants
- Single vs. multiple sourcing.
- Make or Buy-Strategy.
- Modular vs. component sourcing.
- Regional vs. global sourcing.
- Strategic partnerships vs. transactional relationships.
Production and distribution strategy
- Determine multi-level production and distribution processes.
- Derive supply chain segmentation and alignment with production strategy (e.g., make-to-stock, make-to-order, assemble-to-order).
- Identify suitable decoupling points.
- Determine preferred transport routes and carriers.
- Design the organization of transport management.
Collaboration and partnerships
- Define principles of cooperation with external partners.
- Define process design and the binding nature of process models (e.g. SCOR® with Plan, Source, Make, Deliver).
- Design cooperation and integration with customers and suppliers (processes, systems, data).
Supply chain maturity and Supply Chain Performance Management
- Determine the maturity level of the supply chain (processes, organization, technology) and define service level.
- Carry out benchmarking.
- Formulate targets and KPIs for the supply chain.
- Determine methods for performance measurement.
CASE STUDIES & INSIGHTS - PRACTICAL EXAMPLES
©HelloRF Zcool/shutterstock.com
Reduction of complexity through standardization
CASE STUDY:
In China, the "made in Germany" label stands for innovative strength, quality and a high level of development competence on the part of the manufacturers. A textile machine manufacturer wanted to reduce the variance and complexity within the Product portfolio. The main goals: reducing costs and strengthening the position in the Chinese market. With the China expertise of EFESO, a solid, regional supplier network was created in a short time.
SCM Strategic Levers
INSIGHT:
Learn more about the strategic levers for optimizing the supply chain and the effects on your company.
SCM Planning Execution
INSIGHT:
Learn more about the data-driven approach to SCM planning and the five success factors for dynamic markets.
SCM Maturity Check
INSIGHT:
Is your supply chain ready for the next crisis? Find out with the ‘Supply Chain Management Maturity Check’.
Capabilities for Performance Improvement in CEE region
INSIGHT:
Learn more about EFESO’s ‘Performance Programs for the CEE Region’ and the seven levers for performance optimization.
Global Footprint and Manufacturing Excellence
INSIGHT:
Learn more about the most important geopolitical trends, the challenges for the manufacturing industry, and how to meet them.
SCM End-to-End Transformation
INSIGHT:
Discover how to transform your supply chain management into a high-performing end-to-end organization, enhancing your company's agility and resilience.
Car Market Trends: USA
INSIGHT:
Learn more about the US market, upcoming political changes, and a five-step approach to develop a robust, forward-looking strategy.
End-to-End Inflation Management
INSIGHT:
Learn how to sustainably increase profitability through comprehensive inflation management.
With an integrated approach, EFESO helps suppliers recover inflation-driven costs and strengthen their position in the value chain.
Design and Realization of Distribution Centers (DCs)
INSIGHT:
Learn about the key success factors for integrated distribution centers and agile, resilient supply chains.
Big Data
INSIGHT:
Learn how ‘Procurement Spend Cube Analytics’ can help you quickly identify savings potential in procurement.
Supply Chain Resilience
INSIGHT:
Learn how to increase the resilience of supply chains while maintaining profitability. We describe a best practice EFESO client case from the automotive industry. Additionally, we name the key initial questions for four central fields of action and essential steps on the path to resilience.