Understanding Supply Chain Performance and Strategic Fit

📦 Supply chain strategy must align with the competitive strategy of the company.

💰 Different competitive strategies require different supply chain strategies.

🌟 Responsive supply chain strategy is crucial for businesses competing on responsiveness and customer satisfaction.

🔑 Different products require different supply chains.

🔄 Functional products require efficient supply chains.

💡 Innovative products require responsive supply chains.

⚙️ Supply chains can be designed for efficiency or responsiveness.

🚚 There are six drivers of supply chain performance: facilities, inventory, transportation, information sourcing, and pricing.

🏭 Facilities refer to the physical locations in the supply chain network.

📦 Warehouse location, inventory decisions, and transportation modes are key drivers of supply chain performance.

💡 Processing information and sourcing decisions play a crucial role in cost savings and performance improvements.

Supply chain activities can be performed internally or outsourced.

The strategic fit of the supply chain is determined by the decisions on manufacturing, distribution, and retail.

Pricing is a critical decision that affects profitability in the supply chain.

📊 Having the right information in the supply chain can greatly improve performance.

💰 Decisions related to sourcing and pricing can significantly impact profitability and performance.