Picture: Niklas Hedin, CEO Centiro Solutions.
Worth reading: Here´s another blog post I´d like you to read:
Niklas Hedin: «RE-imagine. RE-mobilize.»
When I look across the landscape, I see a mixture of new and old thinking, a variety of really good companies and supply chains, and some that truly struggle.
Some that used to be well-performing and profitable supply chains, are now dragged out in the light of a new dawn, that reveals structural flaws when put in the context of today’s markets, where global and enlightened consumer pressure is driving new behaviors into industrial environments. Is this the end of the world as we know it? Is it time to shut the blinds and go back to sleep, hoping for some bad weather to blow past? No! This is a time of great opportunity. This, dear reader, is a great time to induce and mobilize change.
How do you make your customer feel?
When working with some of my own house gods and now dear friends Professor Dag Ericsson and Doctor John Gattorna, with sprinkles from Martin Christopher, the mix of thoughts for a new world starts to come together. I prefer to take the lens of an architect. Any supply chain is composed of a set of functions, and when I listen to many supply chain decision makers – most often – silos. But too often, using a house analogy, the bathroom was optimized for a family of two, but the kitchen was designed to cater for a football team having lunch. And no one had an overarching thought as to what the whole house would look like, or even less, how it should feel to live in it. No single thought is wrong on its own, but combined they are not harmonized to work together.
Structural flexibility – why not eat the cake and keep it?
The breadth of innovations that are available today changes the game in many fields and enable any company to advance in terms of process efficiency, service levels and cost reduction. New ways to think about organizational design (say goodbye to stale hierarchies), supply-chain design (goodbye, one-way supplier pressure, hello co-created innovations and shared value) and technology, where cloud-based IT architectures and mobility are two strategic and important enablers to mention for supply chain development.
Old functions seen through a new lens is becoming the new Black
In particular, I see huge potentials in the field of transportation. Globalized supply patterns now need to be balanced with regional ones, new ways to fulfill customer promises with final mile services, or take control over inbound processes are enabled when own-fleet style transportation is blended with commercial networks. Good things happen when end-to-end measurements are applied.
So where is your customer?
Well-trimmed supply chains and logistic functions are often great at measuring things. The one question you could take away from this blog and ask your colleagues is how each metric relates to customer satisfaction. Using my analogy – how does your house feel to live in for your customer? Do you have a holistic view, or do you have sub-optimized bathrooms, kitchens and bedrooms? In my experience, metrics are both used and more often abused. They often focus on doing things right, rather than doing the right things. Right that is when looking at context and customer.