Forget ‘If It Ain’t Broke, Don’t Fix It’
All bets are off in these unprecedented times. What worked yesterday might not work tomorrow. Take a fresh look at your product supply strategies.
Should We Make or Buy?
Many executives outsourced when it was the popular and often a smart cost decision to do so. However, the times have changed substantially. Sometimes, we continue what is in place because of the cost and disruption to change. What is the current situation and how has it changed since the pandemic? Read our eBook, Future-Proofing Manufacturing & Supply Chain Post COVID-19 to gain details about make or buy strategies and what makes the most sense to meet your business and customer requirements.
According to my friend and colleague’s article, Is Just in Time Broken?, the incremental cost of inventory as a percent ranges from 31-58%. Now, that is substantial! Are you considering these costs in your calculations? Great minds think alike as our recent articles, JIT Might Not Be What It is Cracked Up to Be (Strongest Link section) and Think Twice About Your Manufaturing Supply Chain encourage executives to THINK. Start with your customer, do a few quick calculations, use common sense and you’ll know what to do.
We are definitely interested in what you discover as you rethink your product supply strategy. Remember, no matter how “good” you feel you are positioned, if you aren’t innovating, you are moving backwards. Check out our eBook and contact us if you’d like to brainstorm these concepts further.