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Achieving strategic fit is a company’s
ability to find a balance between
responsiveness and efficiency that
matches the needs of its target
customers.
 Increasing variety of products
Customers demanding ever more
customized products ….
 Decreasing product life cycles
Today there are products whose life cycles can be
measured in months ,compared to the old standard
of years.
 Increasingly demanding customers
Customers are constantly demanding improvements
in delivery lead times, cost and product
performance.
 Fragmentation of supply chain ownership
Most firms have become less vertically integrated. as
companies have shed noncore functions, they have
been able to take advantage of suppliers &
customer competencies that they themselves did
not have.
 Globalization
Adds stress to the chain, because facilities within the
chain are farther apart, making coordination much
more difficult.
 Difficulty in executing new strategies
Once the good strategy is formulated , the execution
of the strategy can be more difficult
TO CONCLUDE…
Overcoming these obstacles offers a tremendous
opportunity in terms of untapped improvement with
in supply chain. the increasing impact of obstacles
has led to supply chain management becoming a
major factor in the success or failure of firms.
“When obstacles arise,
you change your
direction to reach your
goal;you do not
change your decision
to get there.”
THANK YOU…

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obstacles SCM.pdf

  • 1.
  • 2. Achieving strategic fit is a company’s ability to find a balance between responsiveness and efficiency that matches the needs of its target customers.
  • 3.  Increasing variety of products Customers demanding ever more customized products ….
  • 4.  Decreasing product life cycles Today there are products whose life cycles can be measured in months ,compared to the old standard of years.
  • 5.  Increasingly demanding customers Customers are constantly demanding improvements in delivery lead times, cost and product performance.
  • 6.  Fragmentation of supply chain ownership Most firms have become less vertically integrated. as companies have shed noncore functions, they have been able to take advantage of suppliers & customer competencies that they themselves did not have.
  • 7.  Globalization Adds stress to the chain, because facilities within the chain are farther apart, making coordination much more difficult.
  • 8.  Difficulty in executing new strategies Once the good strategy is formulated , the execution of the strategy can be more difficult
  • 9. TO CONCLUDE… Overcoming these obstacles offers a tremendous opportunity in terms of untapped improvement with in supply chain. the increasing impact of obstacles has led to supply chain management becoming a major factor in the success or failure of firms.
  • 10. “When obstacles arise, you change your direction to reach your goal;you do not change your decision to get there.” THANK YOU…