The Opinion of Our Supply Chain Scouts
Just a Matter for Procurement?
Supply chains are often thought to be solely the responsibility of procurement. This is how most of our projects start. However, it quickly leads to discussions about contribution margins, production planning, and eventually, the conflicting expectations regarding the various functions within the company.
In detail, it quickly becomes clear that the procurement function focuses primarily on the selection and evaluation of potential suppliers.
When it comes to the supply chain, the first things that come to mind are price and quality (as assessed by others).
In the second instance, attention is given to planning integration, such as final deadlines, the provision of parts, and their specifications.
Here is where the overlap with other company functions begins, such as plant management regarding pre-production and assembly, or materials management regarding the stockpiling of supplied parts, as well as the planning functions of the company like work preparation, engineering, or even quality assurance, which play a crucial role in process improvements.
