Tame Complexity With an Operating Model Life Cycle

In this podcast, host Thomas O’Connor and guest Jennifer Loveland explore the continual growth of supply chain complexity. CSCOs must apply a life cycle management approach to the supply chain operating model as an antidote to this complexity. 

The conversation provides real-world examples from Schneider Electric and Siemens, then finishes up by providing five actions that life cycle owners can take to address issues across the five phases within the Supply Chain Architecture Life Cycle (SCALe), which are summarized here:

• Retire — Gain value by actually eliminating complexity, not by simply saying that you will focus on doing so.
• Align — The best check on complexity is to avoid adding it. When required, prioritize complexity that improves competitive position.
• Create — Building operating model composability helps structure complexity, making changes to meet needs easier, faster and cheaper.
• Execute — Leverage ecosystem partners and technology in new ways to capitalize on composability investments.
• Sustain — Use voice-of-the-user insights to regularly assess existing complexity and identify areas to reinvent processes using composability principles.