Trends in industrial supply chains and networks

TLDR

Most surveys rank sourcing, operations, customer services, and marketing activities by their importance or hindrance to successful supply chain management. The study investigates what has changed in supply chains and what to expect from future supply chains, analyzing changes in operational practices and organizational capabilities and identifying strategic preconditions for innovative networking. The authors conducted a focused survey of industrial companies over two decades to trace the development of supply chains and networks, examining changes in operational practices, organizational capabilities, and strategic preconditions for innovative networking. The study finds growing use of IT systems, increased information sharing, and broader coordination, characterizes stages of supply chain evolution based on integration and shifting roles, and concludes that continuous structural change requires re‑examining the concept of supply chain and its best practices.

Abstract

Asks what really has changed for and what to expect from future supply chains. Most surveys rank activities related to sourcing, operations, customer services and marketing in terms of their importance to, or degree of hindrance for, successful supply chain management (SCM). In this explorative study, analyzes the change of SCM both in terms of operational practices and organizational capabilities in some industrial companies. A focused survey traces the development of supply chains and networks over two decades. Observes the expected growth in use of supporting IT systems, extent of information sharing and scope of coordination efforts. Characterizes the different stages supply chain evolution on the basis of supply chain integration and changing roles and responsibilities of the companies. It seems that due to the continuous structural change of the business environment the very concept of supply chain, let alone the best practice of managing one, should be subject to re‐examination in a wider context. In order to reach the current ideal of SCM practices, the strategic preconditions for innovative networking also need to be in place.