4 Key success to optimize Supply Chain Collaboration


In the first place, Supply Chain Collaboration is one of the Key Pillars of S&OP article. Supply Chain Collaboration is also a critical component of a successful S&OP plan.

Secondly, modern technology has facilitated internal cross-functional collaboration (within a corporation). But also external cooperative work arrangements (with trading partners) and machine to person collaboration (via bots and other technological tools).

In addition,, the role of mobile technology has become more prominent. It has increased the daily ease of executing necessary tasks without being tied to a desk. Her are the 4 Key success to optimize Supply Chain Collaboration

1. Facilitate Internal Cross-Functional Collaboration  

Traditionally, supply chain collaboration occurred within a single corporation. Members of the Supply Chain Planning Team frequently worked within the same business unit. Teams did not share data with businesses outside of the Corporation.

However, those data facilitate planning, like customer forecasts, inventory levels and raw material supply levels. As a matter of fact, not shared, those data have no utility. Supply chain personnel had an internal focus on maximizing manufacturing productivity and reducing costs. This method of supply chain planning is often considered to be “Inside-Out” because workers within the Corporation are working as one entity; looking out from  the organization and reacting to cues they pickup from the external landscape. In other words, this traditional model is an insular way of approaching supply chain management. 

2. Develop External Collaboration with Trading Partners 

“Outside- In” supply chain planning is a newer model for managing the supply chain. In this model, the supply chain is a network of relationships that includes business partners who are external to the Corporation. In other words, the holistic view of Outside-In supply chain planning recognizes that demand does not originate within the Corporation— it originates within a market, with customers and with consumers. 

3. Implement the Machine to Person Collaboration

The Internet-of-Things (IoT) has streamlined communication between machines, devices, bots and people. It’s a fact, real time updates and alerts, powered by IoT, increases transparency and responsiveness to unplanned disruptions to the supply chain schedule.

4. Understand the Role of Mobile Technology

Finally, the last key success to optimize Supply Chain Collaboration. Mobile technology imbeds business processes within daily life. With a swipe, from any location with Wi-Fi or cellular data access, data can provide a solution (or at least a mitigation plan) to unexpected problems. Making sure to select technology platforms that are intuitive, responsive, mobile and secure, to meet the 24/7 needs of the workplace, provides corporations with a competitive advantage. 

To conclude, we can now see Supply chain collaboration as one of the key competitive differentiators available to an organization, both for supply chain planning and execution.