Typical Barriers of Supply Chain Management

Common Barriers to SC Improvement
Eugenio Artaza-Llona, Financial Consultant, Peru
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
Another barrier to successful SCM is:
- Willingness to share information. Without true partnership and information from the partners in the SC, it is much harder to become more efficient. While if everybody has the most up to date information about the sales at the end-consumer, the whole chain can react to that.