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Practice paper

Organisations find improving supply chain maturity leads to sustainable growth

Rex Clothier
Journal of Supply Chain Management, Logistics and Procurement, 2 (2), 158-166 (2019)
https://doi.org/10.69554/BVXP3297

Abstract

Optimising value is critical to the ability of an organisation to exist and grow, and the supply chain is critical to this success. Yet often the effectiveness of the supply chain is overlooked and opportunities for improvement to earnings before interest, tax, depreciation and amortisation (EBITDA), cash and growth remain hidden. Continuous maturing of the supply chain can transform it into a competitive weapon for driving continuous improvement in EBITDA, cash release and growth. This effort begins with understanding existing performance and managing the complexity of the many demands, and big data/analytics plays a major role in providing detailed insights. In addition, mature supply chains are marked by cross-functional team interaction and focused governance of ongoing performance; the supplier community must also be fully engaged and seen as a key asset that must be actively managed. Ultimately a higher level of maturity is vital to achieving sustainable improvements. Finding ways to accelerate advancement in maturity is one of the most powerful ways to transform the supply chain into a competitive weapon.

Keywords: supply chain; value; maturity; analytics; cross-functional team; accelerated performance; accelerated results; EBITDA; cash; growth.

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Author's Biography

Rex Clothier is Vice President, Consumer Packaged Goods, Maine Pointe, a global supply chain and operations consultancy. Rex has been part of the Maine Pointe team since 2012, most recently as the strategic procurement practice leader. His in-depth knowledge and industry expertise in global supply chain value streams has consistently provided meaningful value to clients. Rex’s experience in international and domestic procurement and end-to-end supply chain includes advising companies ranging from smaller entrepreneurial firms to large, global, publicly traded companies.

Citation

Clothier, Rex (2019, December 1). Organisations find improving supply chain maturity leads to sustainable growth. In the Journal of Supply Chain Management, Logistics and Procurement, Volume 2, Issue 2. https://doi.org/10.69554/BVXP3297.

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cover image, Journal of Supply Chain Management, Logistics and Procurement
Journal of Supply Chain Management, Logistics and Procurement
Volume 2 / Issue 2
© Henry Stewart
Publications LLP

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