7-step plan for supply chain changes
October 28, 2008 by Charlie WalkerPosted in: In this week's e-Newsletter, Latest News & Views, Procurement trends, Supply chain efficiency
Whether it’s as simple as a schedule tweak or as encompassing as a new supply chain management system, you know there are hoops you’ll need to leap through as part of making any changes.
Fortunately, there’s a seven-step, hoop-leaping process, created by supply chain pros, that can help guide you through changes both large and small.
- Why and what should you change? Take a look at your current operations and set objectives for where you’d like to be. Best way to do this: Hold a series of informal get-togethers with staffers and brainstorm proposals and paths for getting there. As part of setting an agenda, establish stops along the way — benchmarks — that’ll mark your progress.
- Inform interested parties. Your proposed changes will likely affect other departments in their interactions with you. Talk to those people, explain your goals, and ask them to share their concerns.
- What’s in the way? Now that the groundwork has been laid, what obstacles must be overcome in order to meet your objectives? Start forming your action plan for achieving these steps.
- How your changes will help make the company better — and make more money. Prepare answers for these inevitable questions. Try to make as many as possible in concrete terms: “We’ll be able to get orders out 20% faster than before, which can save us an estimated $100 a day,” for instance.
- Get management on board. Armed with a solid game plan, the cooperation of your peers, and the promise of budgeted savings (or similar benefit), you’re ready to approach higher management. Once again, be prepared with hard numbers. For example: Your plan will reduce inventory by 25%, which will in turn reduce costs by more than 20% and make more capital available for other departments.
- Track your achievements. Make sure to chronicle your progress, in a way everyone can see it and understand it. This will further develop buy-in. If you’re able to link any type of incentive program to your changes, this is the stage where it’s introduced.
- Spread the success. Recognize the plans and people who made it all possible. Publicize the results. Of course, to extend credit to these folks, you’ll need to stand in the spotlight as well.


October 30th, 2008 at 10:21 am
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