Supply Chain Complexity

Today's globalized industries characterize supply chains with complexity due to increasing demand requirements, customer sophistication and uncertainty within markets. Consequently, a higher effort is required to coordinate the interactions and interdependencies between suppliers and customers. Existing business models are taken to their operational limits in reacting fast towards customers’ demand satisfaction while still remaining profitable. Customers’ sophistication increases the amount of product variants and the requirements for flexible resources to source, make and deliver these products. The lack of complexity management within the supply chains is a direct threat to the fulfillment of customers’ satisfaction with the right amount of products, on the right time, at the right place and the right value.

Traditional Supply Chain Management, analyses and defines actions for improvement within the scope of single business functions of isolated of supply chain participants and is therefore not capable to assess the impact of strategic decisions to the overall supply chain’s goals of customer satisfaction and profitability. Understanding how complexity impacts supply chains is fundamental to efficiently assess, identify and manage the increasing demand, product variants and uncertainty characterizing todays’ business environment. The assessment of supply chain complexity must consider the dynamics of the logistics network, as well as the interrelationships between supply chain participants who behave according to different business strategies.

Supply Chain is a System and it is Complex

We analyze Supply Chains from a systems perspective, where its overall performance results from more than just the sum of the individual companies and processes. Our approach is based on the award winning* method for assessing complexity development and its impact on supply chain performance.

We evaluate the performance of supply chain systems, by taking into account the dynamic interactions of companies within logistics networks and the underlying processes characterizing the business strategies of each of the supply chain participants. We provide guidance and support to improve your company’s supply chain performance by a comprehensive analysis of interactive business functions & processes, flow of products & information, as well as of the emerging behavior resulting from the implementation of different business strategies/policies. Moreover, we enable you to evaluate and quantify the potential improvements in your supply chain for different scenarios, configurations and requirements.

*2013 Wissenschaftpreise in Logistik by Bundesvereiningung Logistik (BVL)

We Help You

Understand the supply chain’s complexity

Quantify the complexity development in relationship with your operational and economical KPIs.

Analyze supply chain risks and define mitigation actions

Assess the robustness of your logistics network and supply chain process.

Define actions for operational improvements

Test under different demand requirements your business strategies and its resulting performance within the company’s processes and across the logistic network.

Assess the effectiveness of your supply chain design

Evaluate the impact of changing the amount, type and location of suppliers/customers.