Gartner Research

Optimize Portfolio Complexity to Enable Better Supply Chain Performance

Published: 08 October 2013

ID: G00257706

Analyst(s): Stan Aronow , Jan Kohler


Expanding product portfolios increase complexity of the end-to-end supply chain, affecting internal ability to achieve financial and service objectives. Optimizing the portfolio to maintain healthy and acceptable levels of complexity meets the objectives of supply chain and business leaders.

Table Of Contents
  • Impacts


Impacts and Recommendations

  • Increasing portfolio variety makes demand forecasting more difficult, introducing challenges for the end-to-end supply chain organization
  • Continued portfolio expansion drives supply chain leaders to seek ways to minimize complexity impacts on inventory, cost and service objectives
  • Supply chain organizations face many symptoms resulting from portfolio variety, and need to solve for three primary root causes

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