Key Takeaways

• “CFOs are requiring supply chains to balance strategic cost optimization and digital business acceleration.”

• “Seventy-four percent of supply chain leaders expect to support new business models by the end of 2022.”

• Sixty-seven percent of organizations have defined environmental and social sustainability KPIs they expect supply chain leaders to be accountable for.

• Four macro trends influencing supply chain leaders include:

  • CSCO as Chief Ecosystem Officer: By 2026 more than 50% of organizations will compete as collaborative digital ecosystems.

  • Self-stabilizing Supply Chains: Modular supply chain solutions will enable CSCOs to make faster, more accurate decisions in real time. 

  • Authentic Achievements in ESG: Sixty-three percent of Gartner Supply Chain Top 25 companies and masters score 10/10 on ESG.

  • Human-centric Digital Automation: Leaders focus on reducing cognitive overload and make the development of a new employee value proposition a top priority. 

Key Takeaways

• “In today’s disruptive times, supplier collaboration is not a nice to have - it is a must have.”

• “Collaborative Planning Forecasting and Replenishment (CPFR) as a concept has been there for many years, but mostly applied with customers and retailers - not suppliers. In today’s world, collaborating with the key strategic suppliers is equally important.”
  

• “By implementing a collaboration process with key strategic suppliers, supply chain leaders can drive better visibility, improve accessibility to raw materials, collaborate on the prioritization of supplier capacity and joint value creation initiatives to address strategic corporate objectives.”
  

• “CPFR  involves investment of time, resources and money from both parties, and it is a commitment to timely sharing of specific data to drive joint value creation projects.”
  

• Supply chain leaders must take the lead now to mitigate risks for the future by:

• Identifying their key strategic suppliers

• Assess the current state of collaboration

• Determine collaboration opportunities

• Build a business case linking to business objectives

• Kick off the CPFR process with key suppliers

Key Takeaways

• “CEOs look to the supply chain to help grow the business by delivering value to customers and supporting performance amid changing supply and market conditions.”

• “With uncertainty around the globe, the sentiment from leading CSCOs is best characterized as a moment of deep reflection and reinvention.”
  

• Three key supply chain reinventions are ahead:

  - From Location-Centric to Human-Centric Work Design: To remain competitive, CSCOs have to embrace a new employment relationship that centers on employees and offers: flexible work experiences, intentional collaboration and empathy-based management.

  - From Real-Time Analytics to Real-Time Decision Execution: With the increasingly volatile and fast-evolving nature of the market, 60% of enterprises expect supply chains to make faster, more accurate and consistent decisions in real-time.

  - From Operational Excellence to Commercial Innovation: Commercial innovation is a novel way for the supply chain to directly grow the top-line by developing new and different offerings focused on growth rather than cost-cutting.

Key Takeaways

• “As a consequence of acquisitions and mergers, manufacturing networks were left in a shape that was the result of corporate development strategy rather than of deliberate supply chain design.”

• “According to Gartner’s latest research on smart manufacturing, 40% of industrial manufacturers cite network complexity as a top challenge to manufacturing strategy.”

• “Industrial supply chain leaders have cited organizational complexity as a substantial challenge in driving transformation.”

• The three levers to help those in the 40% move beyond complexity to enable transformation:

  • Determine the operating model that will fit the network strategy.

  • Simplify network design principles and take control of the network from within the supply chain with a principles and rules-based approach to network design decisions.

  • Simplify decision making for investments. Organizational decision making for many industrials is just as complicated, if not more so, as their networks.