Supply chain reinvention

With the increased pressures on operating margins in developed markets and the need to drive growth in emerging markets, consumer products companies are looking for the next evolution of their supply chain operating model.

The EY Integrated Supply Chain Operating Model framework offers the following to help companies transform their operating models:

• Integrated operating model structure
• Integrated governance and performance management
• Geographic assessment
• Integrated supply chain network
• Integrated supply chain x-functional processes
• Integrated systems and data
• Integrated supply chain finance structure
   

Network and flow optimization aims to create an integrated supply chain with end-to-end optimization and accountability while supporting success in local markets. The solution provides tools and methodologies to strengthen the configuration of global manufacturing and logistics networks as well as analytic capability to improve trade flows.

Integrated Operational Excellence helps organizations develop end-to-end operational improvement through:

• Supply chain segmentation and synchronization – A methodology, supported by our proprietary VC Sync™ tool, that looks across the supply chain to define a fully integrated and segmented strategy.
• Initiative reliability and complexity reduction – Initiative reliability provides an integrated, cross-functional approach for increasing the speed and reducing the failure rate of innovation initiatives. Complexity reduction improves product portfolio/SKUs by linking commercial and supply chain views.
• Commercial excellence – A procurement transformation encompassing the operating model, analytics, alliances, risk management, procure-to-pay and automation.
• Run to Target manufacturing – A distinctive approach combining Reliability Engineering with Lean, TPM and Six Sigma.
• Route to Market optimization – More effective cost-to-serve analytics and advanced channel/service segmentation.