Leading the modern Supply Chain is no place for the faint hearted. With its complexity, customer demands and requirement for high levels of efficiency it takes confidence - as well as competence - to determine the optimum supply chain solution. Critical to success is the ability to provide a counter balance to other management functions.
If sales are able to push unplanned product through the network or marketing demand higher customer service levels, or finance aren’t prepared to back the infrastructure required, it takes character to stand up for the needs of a function that is often viewed as the ‘customer’ of the others - as opposed to a peer. How many MDs listen to logistics as much as sales?
Striking the optimum strategic balance of cost versus service versus flexibility over various time frames is a demanding calculation, one that requires input from all parts of the business and is critical to determining overall commercial success. Once defined, the agreed operating plan also takes resilience and determination to adhere to.
The healthy tension between sales and operations should be just that. If sales are able to run roughshod over operations the implications for service levels, margins and, ultimately, brand reputation can be serious.
The type of individual willing to stand up to and debate with powerful vested interests is the person that you want leading any business function. These are the people who have the confidence to back their analysis and a plan that they believe in.
When deciding on who should be in post at the head of your supply chain, it’s worth considering whether you want someone who will contest the demands of the business and flag up future concerns, or someone who’ll just say ‘yes.’
Key to the success of all supply chain operations is a leadership team that is able represent the function – one that, in the best interests of the business, has the confidence to challenge as well as deliver.