Typical Barriers of Supply Chain Management

Common Barriers to SC Improvement
Eugenio Artaza-Llona, Financial Consultant, Peru, Moderator

Some of the obstacles that threaten your Supply chain improvement include:
• Resistance to change. Without vision, without executive leadership, and without a rewards system that recognizes sought-after achievements and efficiencies, it is difficult to move forward.
• Refusal to share savings. When your suppliers work with you to make your supply chain more efficient, you ought to find a way to cut them in on the profits. After all, this is what will give them an incentive to continue to help you in the future.
• Insufficient resources. The teams are resource-poor, the company is focused on downsizing, and it’s easier to ignore the supply chain than to invest more resources.
• Withdrawal of executive commitment. The status quo is adequate. When senior sponsors return to their normal sphere of activity, interest in new initiatives wanes.
• Ignoring inaccurate forecasts. Get better information involves developing closer relationships.
Source: Charles C. Poirier, Advanced Supply Chain Management

Common Obstacles of Supply Chain Management
M Brouwer, Student (University), Netherlands, Member

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