Consultants in Logistics

Opportunity Cost

In today’s highly competitive environment, organisations have to run lean in order to prosper.  The problem is when a key member of the supply chain team leaves there is often immediate pressure to source a replacement.  Servicing customers cannot wait. However, before you reach for the job description possibly last used when your now departing manager joined the business, you might want to ask if by sourcing a like for like replacement you are missing an opportunity?

With supply chains increasingly complex and logistics operations optimised to their limits, the potential to gain margin by updating or changing the role is worth considering before embarking on a search for a replacement. Upgrading the leadership team can result in reduced costs or an increase in revenue through innovation and improved productivity.

The sums involved are worth putting into context: Reducing supply chain costs or improving customer satisfaction in a large DC can easily lead to savings, or increased sales, making an increased investment in the leadership team extremely attractive.

An additional consideration could also be whether the business has moved on since the last hire. Does the person to whom the role reports now have broader or greater responsibilities, and less time to give to supporting the function, requiring a more heavyweight individual in the position?

Losing a key member of the team will always be challenging.  Davies & Robson, with its unrivalled experience of supply chain development and management, can help ensure a potential set back can be turned into an opportunity to help take the Business forward.  For further information as to how Davies & Robson can support your organisation please call John Cashmore on 01327 220862.

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