Sustainable Lean supply chains realise brand strengthening, financial benefits, cost reduction and revenue growth as a result of increased efficiencies, risk management and compliance.
VCG offers a six step method for a sustainable, Lean supply chain transformation with a clear focus on continuous improvement, risk management and regulatory compliance.
The six step method utilises an extensive root cause analysis and a rich set of transformative drivers, such as technology, organisational redesign, outsourcing, contracts negotiation, and stakeholders behavioural change, for an evidence based, risk conscious transformation.
A sustainable lean supply chain operating model.is contingent upon accurately measuring and monitoring the important metrics and KPIs. This approach of measurements led process change, has been quite effective and is industry better practice.
Capabilities and Services for Lean Supply Chain Management:
- Supply Chain Efficiency and Effectiveness review
- Operating Model Design and Transformation
- Business Process Benchmarking
- People and Organisational Design
- Supply Chain Process Automation
Supply chain management is the handling of the entire production flow of a good or service — starting from the raw components all the way to delivering the final product to the consumer. To accomplish this task, a company will create a network of suppliers (the “links” in the chain) that move the product along from the suppliers of raw materials to the organisations who deal directly with users.
Components of traditional supply chain management include:
Managing resources required to meet customer demand for a company’s product or service. Metrics should be determined to measure whether the supply chain is efficient, effective, delivers value to customers and meets company goals.
Identification and securing of suppliers to provide the goods and services needed to create the product. Processes, including ordering, receiving, managing inventory and authorising supplier payments, should be established to monitor and manage supplier relationships.
Structuring the activities required to accept raw materials, manufacture the product, test for quality, package for shipping and schedule for delivery.
Also referred to as Logistics, this is the coordination of customer orders, delivery and dispatch scheduling, customer invoicing and receiving payments.
The process created to receive defective, excess or unwanted products.
Also referred to as Enabling, supporting processes include: finance, human resources, IT, facilities management, portfolio management, product design, sales and quality assurance. These processes should monitor information throughout the supply chain and assure compliance with all regulations.
Speak to VCG to learn how we can help your business identify and implement best practice opportunities.