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Supply Chain Consulting – Part 1

Asking the right questions to drive results
Supply Chain Solutions

Step 3 – How to Begin
After determining the general purpose of the project and hiring a capable consultant, a logical first step is to conduct a supply chain assessment. This helps the consultant appraise and evaluate the client’s current supply chain strategy, organization, processes, technology, and metrics. The goal is to identify strengths and performance gaps so the consultant and produce company can work toward cost-effective solutions that drive competitive advantage.

A typical assessment will begin with a series of site visits and interviews with stakeholders from across departments and levels of responsibility. Next, relevant data is collected, measured, and analyzed to identify effective practices and lagging capabilities. Then, a set of recommendations and a project roadmap can be developed to prioritize improvement needs.

The strategy assessment determines if the company has a clear supply chain strategy aligned with its overall business strategy and goals. This big picture overview highlights the current supply chain design and its ability to profitably serve the market. Issues related to customer service, strategic risks, and operating flexibility should be investigated.

Having the right talent is another essential element of success. This assessment investigates the supply chain’s organizational structure, individual roles, and capabilities of current team members. The goal is to determine if qualified people are in place and given appropriate authority to support operations.

The process analysis examines the plan-source-make-deliver operations of a fresh produce supply chain. This detailed activity explanation and evaluation provide valuable information for benchmarking purposes. Process modification opportunities can also be pinpointed by the consultant during this assessment phase.

A supply chain information infrastructure assessment determines if technology is performing as needed. Tools should be in place to enhance supply chain visibility and decision making. The consultant’s role is to determine where technology resources are lagging or outdated so future upgrades can be investigated.

It is important that the assessment also include a review of performance indicators and tools. The consultant needs to understand what is regularly measured and how the results are deployed. If results are not being used to drive satisfaction, profitability, and return on investment, then changes must be added to the project docket.

A detailed and factual assessment will highlight the strengths and weaknesses of a supply chain’s strategies and operations. The assessment will also benchmark internal capabilities against best-in-class practices. And, it helps the company and consultant prioritize needs in the project planning roadmap.

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