The use of analytics enables a new quality of value chain and network design: truly end-to-end spanning from suppliers to distribution, segmented, adaptive and dynamic, and with a clear view on total cost and profitability.
Adaptive value chain design is key to unlocking competitive advantage
Today’s global marketplace is ever-changing. Competition has moved from products to solutions and end-to-end value chains. But companies are struggling to design adaptive value chains to keep up. While operational improvement has been widely exploited, the need for optimal strategic design and continuous adjustment of supply networks is more significant than ever. Companies need to move to a multi-dimensional approach to network design to achieve the required levels of service, cost, risk, flexibility, and innovation.
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How we help clients
Value chain strategy and segmentation
Customer and market-driven value chain strategy
Focus on driving competitive advantage and value for the business
Systematic segmentation and operating model design
Value chain design
End-to-end value chain design and configuration
Greenfield (e.g. e-commerce, new product line) and brownfield design approach
Use of best-practice operating models and processes
Strategic network healthcheck
Systematic evaluation of end-to-end network performance
Screening for tactical and structural opportunities across cost, service, capital, flexibility, risk, and sustainability
Production network strategy
Holistic demand & supply assessment
Outside-in view: impacts of market, technology, and industry trends
Footprint optimization and asset strategy (make v. buy)
Business case review and financial modeling
External supply strategy
Systematic mapping of supplier network performance, risk, and flexibility
External supply strategies on regional/ technology level
Strategic supplier segmentation and consolidation
Strategy powered by analytics
Analytics on supply network opportunity and risk profile
Ongoing network performance monitoring
Scenario analysis and modeling
Optimal product-site and product-line allocation
Strategic value chain and network design is ripe for a change: from one-off, reactive effort to continuous network monitoring and adaptation. The winners are effectively empowering strategic decision making with data and analytics in a dynamic process of gradual innovation.