GOODQUESTION
What’s one supply chain misnomer and what would be a better term?
Let’s Rethink “Supply Chain”
D il tnt . “Transformation” implies one and done. Becoming a digital-centric business is an ongoing process and is less about technology and more about how people leverage technology and data to optimize employee and customer experiences. A better term is DIGITAL JOURNEY. –Kristi Montgomery
Misconception: A supply chain is just the portion of a company’s logistical network from its immediate suppliers to its factory door. It’s the entire network from a company’s lowest-tier suppliers through its factories, distribution network, all the way to its customers. A better term is supply chain ecosystem . –Dave DeFreitas CRO, TADA The chain analogy implies logistics is a linear process, but this is not the case as supply chains have various points of interaction. It would be fitting if companies only sourced material from one supplier and sold products to one buyer. A more appropriate term would be supply network .
VP of Innovation, Research & Development, Kenco Group
F spn is a term used to overcome purchasing barriers. It creates the illusion of savings or cost aversion while promoting additional spending if there is a minimum spend threshold. It’s more persuasive than saying “ SHIPPING IS INCLUDED somewhere in this purchase.” –Micheal McDonagh President, Parcel, AFS Logistics J-i-t e = no inventory. JIT is often misunderstood to mean having no inventory on hand. In reality, JIT refers to having the right amount of inventory at the right time. In recent years, however, the concept has shifted toward JUST-IN-CASE inventory due to supply chain disruptions. –Perry Falk EVP, Carrier Operations, Nolan Transportation Group
–Brian Kava CEO, PICKUP
Have a great answer to a good question? Be sure to participate next month. We want to know: What’s the biggest supply chain takeaway you’ve learned from a recent peak season? We’ll publish some answers. Tell us at editorial@inboundlogistics.com or tweet us @ILMAGAZINE #ILGOODQUESTION In many cases, “supply chain” is overly simplistic compared to the reality of the way the products get to the consumer and the way that reverse logistics is played out whether through returns, or other full product lifecycle management requirements. Value chain network is a broader term that can include many of the variations that add value to the consumer and producer’s overall experience. –Mark Wheeler Director, Supply Chain Solutions, Zebra Technologies This business is more than drivers and dock workers; each load has countless stakeholders. Shippers, carriers, technology and data teams, third-party service providers—the list goes on and on. Inventory optimization and transportation might more eectively encompass today’s massive supply chain ecosystem. –Blair Blake VP Carrier Strategy, Arrive Logistics I’d rather call it a supply web . –Dale Young Vice President, Warehousing & Distribution, World Distribution Services LLC It’s more so a supply network that is built and sustained by the networking capabilities of logistics experts and driven by supply and demand. –LeeAnne Howe HR Manager, TA Services
The term si because it suggests a purely transactional
relationship with the buyer. To become more resilient, organizations need to see their suppliers as PARTNERS, as the boundary between companies and their supply chains has become increasingly porous.
–Tony Pelli Practice Director, Security and Resilience, BSI
E-c r is dated—coined when buying something on the internet was a novel idea, but today, we just call that COMMERCE. When we think about customers in a connected commerce system, meeting them where they want to be met, we can implement a digitally connected supply chain to support the way customers shop.
–Steve Denton CEO, Ware2Go
14 Inbound Logistics • January 2023
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