Creating Supply Chain Excellence in the Times of Chaos
Strategist consider scenarios of Static, Dynamic, Complex & Chaotic environments in which industries operate. The parameters for determining the same are – number of variables in the environment & the rate of change of those variables. A chaotic environment is one when the rate of change is high & the number of variables in the environment are large. The industry context for that period of industry life cycle is a ‘Chaotic’ environment. The current industry is passing through a phase like that with no surety if that is a permanent change in the way it will need to operate for years to come. Supply Chains are structures which support a random event called ‘sales’. Each Supply Chain supports a systemic component of demand & a random component of demand. The state of Supply Chains in Chaotic industry context makes the component of 'randomness' increase. While enterprises may engage in the creation of their Strategic Plans, most of them are fallin