Supply Chain School

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Supply Chain Management

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Adoption of world class manufacturing techniques in highly automated, controlled off site environments will enable high volume, lean and defect free products to be produced and economies of scale achieved. 

This will require some fundamental shifts in the industry’s approach  which will include fundamental changes to the way supply chains are shaped and managed. The Construction industry needs to learn and apply lessons from other sectors where supply chain management principles are embedded in day to day activities. The Aerospace, Automotive and FMCG markets are good places to draw inspiration. That is not say we adopt practices and processes from other sectors with tailoring to our needs. More of a need to understand what 'best in class' Supply Chain Management looks like and learn from this.

Supply Chain Management involves pro-actively developing and implementing supply chains that are as efficient and economical as possible in order to maximise value.

While supply chains have existed for a long time, most organisations have paid little attention to them. Few businesses have understood or managed, the entire chain of activities that ultimately deliver products or services to the final customer. The result can be disjointed and often ineffective supply chains can result in increased costs, inefficient practices, supply constraints, reduced quality, and longer lead times.  

Organisations are beginning to recognize that more attention must be paid to developing lean and agile supply chains to support a new era of high volume off-site production using state of the art manufacturing techniques in highly modern automated factories.

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Key terms: Supply Chain Management or SCM, Supplier Relationship Management or SRM, Category Management, Spend Categories, Supplier Development, Downstream \ Upstream, Standardisation, Supply Chain Mapping, Procurement Process