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Supply Chain Excellence

Supply Chain Excellence

The Centre for Transportation and Logistics at MIT (Massachusettes Institute of Technology California,USA) has structured a three-year project, named Supply chain 2020. This project will mainly look at what ought to be the components of an excellent supply chain system. The project was launched eight months ago. The aim of this project is to provide companies with trends and events of the near future, which will leave an impact on the business.

The project envisages some unexpected circumstances companies may have to encounter. These scenarios include shortage of fuel, an absence of low cost producer countries, no third world economically backward country etc.

Four characteristics that an excellent supply chain must have are:
  • Supply chains are a vital part of an entire business design. They enhance and support the strategy.
  • Excellent supply chains are based on a complementary model, not on operating model that gives space to competitive advantage.
  • Supply chain is highly performance oriented and the performance is measured by a balanced business metrics.
  • Excellent supply chain influences a model set for business practices, like operation, strategy and operational model

Case Study Quotes

"Pretty much, Apple and Dell are the only ones in this industry making money. They make it by being Wal-Mart. We make it by innovation". - Steve Jobs, Apple