group 3

• Companies often focus on improving their internal processes, but they overlook the importance of their value-creation network, which includes many partners.
• This oversight can lead to problems during crisis situations, as it may require them to reconfigure their supply chain.
• Current industrial production relies on complex supply chains for efficiency and productivity.
• With low vertical integration, time-sensitive logistics, and regionally concentrated suppliers, smooth, risk-free processes are essential.
• A worldwide pandemic with quarantines, bans on going out, and the shutdown of half the economy – until just a few months ago, this seemed like something we would only see from Hollywood.
• The 2020 corona crisis has highlighted the numerous risks and uncertainties faced by companies.
• The market environment has drastically changed, leaving dysfunctional supply chains and inaccessible sales markets.
• Industrial companies across all sectors are now confronted with a new task: reconfiguring their supply chains to detect disruptions early and manage the consequences of a crisis.
• Supply chain refers to the sequence of activities involved in the production and distribution of a product or service, from the initial sourcing of raw materials to the final delivery to the end customer.
• Supply chain network refers to the interconnected system of multiple supply chains that work together to meet the demands of a larger market or industry.
• Supply chain network management main task is to make the entire network and cooperation of the individual network partners efficient.
• Business-critical dependencies on suppliers are based on their share of supply and location.
• Risk management is crucial in strategy development, identifying potential risks such as regional concentrations, lack of alternative suppliers, and unstable communication channels.
• Prioritizing partners based on product importance and optimizing value flows within the network is crucial.
• Factors such as faster innovation cycles, shorter delivery times, product variance, disruptive business models, and market volatility necessitate a stable partner network.
• To reduce friction and cost, companies should shift procurement and logistics to the network level, prevent double functions, and consider purchasing cooperations for standard products.
• A stable supplier network, with processes and interfaces defined, controlled, and optimized inter-company, is crucial for success.
• The strategy for setting up a supplier network depends on the company's overall corporate strategy.
• Management dashboards are crucial for implementing and controlling strategies, utilizing network-oriented KPIs to aggregate and cumulate key figures, rather than focusing on the focus company.
• Supply chain network development leads to significant changes in individual companies, requiring coordinated change management to uniformly introduce organizational and process changes across all network partners.
• SCNM order control involves network-based processes and must consider different decoupling points, such as mass production of standard products and special machine designs or contract manufacturing, requiring corresponding cooperation.
• A supply chain network must constantly expand, adapt to changing customer needs, and foster partner development through regular digital and personal communication.
• The network is a configuration of different parties such as production facilities, hardware and software and developers, delivery hubs, suppliers and their subcontractors as well as logistics service providers, sales and distribution partners and even end customer.
• Management systems are the regulating force in a supply chain network.
• Planning is essentially understood in terms of sales & operations planning (S&OP) and product lifecycle management (PLM).
• Information management or IT systems provide the applications and digital tools without which a supply chain network cannot be built.
• For example, the network must be geared towards a specific product strategy, such as innovation, market or cost leadership.
• A realistic examination of the current situation is vital in the first phase of supply chain network management.
• Individual network partners must interlock like gears, ensuring information flow and creating maximum transparency for success.
• Implementing a comprehensive supply chain network management is a complex task that requires collaboration among network partners.
• To ensure success, companies must focus on four dimensions: network, planning, management systems, and IT systems.
• This improves delivery performance and flexibility, allowing for better response to demand fluctuations, and ultimately leads to increased sales as "lost sales" decrease.
• An active supply chain network management that considers the entire network into account is crucial for a business.
• Low transparency, lack of communication, and cumbersome delivery routes can lead to problems in supply chain networks, even between group subsidiaries.
• Supply chain network management requires the coordination of different functions within the network, such as procurement, research and development, production or marketing.
• Data analyses lead to strategic decisions based on aggregated and cumulated KPIs in Business Intelligence (BI).
• Mastering complex value chains is crucial, with supply chain networks with agile customer orientation emerging as top performers.
• Companies must first develop a target image that takes important strategic decisions into account.
• In a supply chain network, the number of interfaces should be kept to a minimum to prevent inefficiencies.
• Supply chain network management can help close optimization gaps in all network companies, reducing lead times by up to 20% and supply chain costs by 10%.