The old model was to wait until the end of the month or quarter to shift production and supply based on shipments and sales.
The new model calls for more continuous, dynamic supply chain adjustments to rapidly respond to market changes.
The resulting marriage of end-to-end processes ensures revenue goals and budgets developed in finance are validated against a detailed, bottom-up operating plan and responsively executed.
Concurrently, the strategy reconciles the operating plan against financial goals.
One way to bridge these gaps is with integrated business planning that involves people, process, and technology elements of the business.
This process integrates financial strategic budgeting and forecasting systems with operations planning and allows smart trade-off decisions to be made for the business.
With the arrival and maturation of cloud supply chain technologies, businesses now have the ability to see exactly where all of their inventory is—in real time—from the store shelf back to the manufacturer.
An agile demand-driven supply chain requires end-to-end visibility across the business from buyers and the market to supply. Strategy 2: Build an adaptive and agile supply chain with rapid planning and integrated execution.
Companies tripped over themselves to build ecommerce portals, and one-click purchasing grew in relevance.
All of these changes in the marketplace meant that supply chains had been disrupted forever.