Establish Supply Chain Infrastructure
 

Description:

Reliable processes and corresponding organizations implemented.
Changes are within the constraints of current information systems.
 

Success Defined:

Basic processes stabilized. Firefighting halted.
Company costs in line with direct competitors.
Managers aware of SCM’s potential.
Vision created for the future supply chain.
 

Client Participation:

Process improvement teams effectively use tools.
Path to further supply chain maturity stages planned.
Close gap in managers’ understanding of planning’s value.
 

New Capabilities:

Firefighting diminishes. Managers have more time.
Customer satisfaction increases.
Partner relationships improve.
Organization appreciation of SCM’s value increases.
Company gains experience with project management.
 

CGR Role:

Provide training to managers and staff.
Help management set priorities.
Identify broken processes.
Design changes and recommend organization responsibilities.
Facilitate client teams.
 

Consequences of Inaction:

Better managed competitors overtake the company.

Stage III and Beyond:

Identify internal cost reduction opportunities.
Identify opportunities for technology and systems.
Establish cost baseline.
Identify ways to work with supply chain partners.