Published: 23 January 2024
Supply chains have invested in making their networks more resilient, but they still need to invest in planning capabilities to handle the increased complexity that resilience brings. Supply chain planning leaders must produce planning capabilities that match the complexity of their network.
Organizations have deployed relaxed inventory policies and increased capacity buffers to support demand in the event a disruption occurs. This increases overall inventory levels, idle capacity risk and the risk of obsolescence.
Fifty-one percent of organizations have increased the number of locations in their supply chain network over the last two years. This has led to the ability to produce products at multiple sites.
Sourcing teams have been tasked with increasing the number of suppliers that can support each component or raw material to mitigate the impact of disruption. This has increased raw material planning complexity.
Strengthen the capability to develop
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