The power of interim management in supply chain

Many companies are overwhelmed by a wave of changes, such as digitization, globalization and new technologies. The consequences of COVID-19 also demand full attention. How do you get a grip on these trends and developments in the supply chain?

For innovative supply chain managers, it is very important that they try out new technologies and consider what developments are needed in the organization, and also what resources are needed. Most developments relate to digitization, analytics and machine learning.

The digital transformation remains high on the agenda. It creates new opportunities, innovative business models and has an impact on production systems and supply chains. One of the latest developments is the digital supply chain twin, a digital representation of the relationships between supply chain items, such as products, customers, warehouses and facilities. It runs synchronously with the real-world supply chain and improves the quality and speed of decisions.

Internet of Things

Another important development is the implementation of advanced analysis. The increased availability of IoT (Internet of Things) data and other external data enables organizations to anticipate future scenarios in supply chain planning, sourcing and transportation. Machine Learning and Artificial Intelligence also contribute to the further automation of the supply chain, for example with self-learning and natural language techniques that are used in processes such as demand forecasting and production planning and predictive maintenance.

With everything that goes on in the world, organizations rightly have concerns about their continuity. Therefore, in addition to the influences of COVID-19, attention must also be paid to natural disasters, for example. In addition to strategic attention to sustainability, supply chain professionals will need to ensure an international spread of raw materials and production locations.

Work to be done

At this moment a supply chain manager must have an action plan in place that limits the risk and financial impact of a disruption in the supply chain. There isn’t one? Then there’s work to be done! Provide up-to-date insight into data across the entire supply chain. Analyze the data (inventory, network, hubs and nodes) to match supply to demand. And develop a short-term recovery plan, such as a strong simplification of the assortment to get through a crisis.

Then focus on building supply chain resilience based on new disruptive scenarios. Do a stress test. Identify and mitigate key single points of failure (e.g. concentration of supply). How do you get better visibility of data for the future? Think of the digital supply chain twin.

And in the distant future? The ‘new normal’ undoubtedly brings different market conditions. The pressure on sales, especially in an uncertain market, forces to reduce supply chain costs. Therefore, transform the supply chain business model from a rigid, linear supply chain to a flexible ecosystem in which all parties work together.

A head start

Senior Management Worldwide offers experienced interim managers who fit the current issues. So, don’t wait until your organization is further developed and ready for take off, but start immediately. Of course, your organization will learn from the knowledge and experience of the interim manager right away. After completion of the assignment, your organization moves on to the chosen path. That’s what you call a head start.

Virtually all partners of SMW know the supply chain business, both as a discipline within for example a production company, but also supply chain specialists.

International cooperation

Senior Management Worldwide (SMW) regularly publishes best practice examples from its partners. With associated member firms in 40 countries and partner branches in 21 countries including USA, Europe, Asia and Americas, SMW delivers services seamlessly across the world in any market. One local contact in your country plus one contact on the ground in the country where we are working. Wondering how we can help your company? Contact the SMW partners in your region:

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