Optimize the Value Added Chain with Supply Chain Management
Supply Chain Management is the company-wide coordination and optimization of the entire Value Added Chain, from raw material procurement through the individual process stages up to the final product to the customer. As leading management consultants for operations, we support you in setting up and optimizing an efficient Supply Chain Management system.
Integrated overview with Supply Chain Management
In the classical logistics chain, the individual market participants make decisions from their own viewpoint, and act in isolation from the other members of the procurement chain. Thereby, perfection in individual sub-systems does not automatically translate to the total system.
Therefore, in Supply Chain Management, a company-wide approach is pursued. All participants take an expanded view and strive for overall optimization of the total process. Through reduction of external disrupting factors and improvement in the management of the needs of all affected departments, we increase the productivity and the cost efficiency of your company.
Supply Chain Management tailored
The integration of the company along the entire value added chain is pursued with the goal of achieving cost, time, and quality advantages. In order to achieve these advantages, a high degree of adaptability and transformation in a dynamic supply chain is essential. With this in mind, our consultants select for your company appropriate methods for Supply Chain Management from our TARGUS Toolbox. With cross-functional experience, our technically competent consultants develop workable and realizable approaches.
In order to achieve sustainable results, we tailor our approach exactly to your requirements. At the same time, we support you with our interdisciplinary consulting teams in all areas of Supply Chain Management: from analysis through development of a comprehensive strategy, from conception to sustainable transformation through project controlling. Together with your employees we develop exact solutions for your value added chain.
Typical Results from Optimization of Supply Chain Management
- Internal and external process transparency
- Increase in productivity
- Improvement in return on investment (ROCE)
- Cost reduction through rigorous cost management
- Rapid reaction capability to market changes
- Strengthening of competitiveness through establishment of global networks
Supply Chain Management creates Transparency
In order to remain successful and competitive in the global, rapidly changing marketplace, value added chains must be cost efficient and flexible. Through rigorous Supply Chain Management, transparency must be created in order to develop sustainable and effective controlling. Therefore, our consultants first examine your internal supplier chain.
In order to develop an effective Supply Chain strategy, the company goals must be broken down along the value added chain. With the resulting information, our experts can then more accurately analyze the different areas of the value added chain and reveal their optimization potential:
Concentration on Core Competencies
Eliminating non-value added processes allows concentration on the actual core competencies. Using detailed process analysis, we develop approaches to optimize the production process. Using Lean Production, complex structures can be broken down and transparent, efficient production processes can be created.
Supply Chain Management aims for transparent, lean processes in your company and allied companies. To achieve this, we perform a comprehensive review of your production processes. We utilize, as necessary, various concepts from the TARGUS Toolbox from value stream analysis to facility planning, either separately or in combination.
Procurement and Logistics Management
In addition to production processes, Supply Chain Management also examines Purchasing and Logistics functions. These must be incorporated into the strategic evaluation of the value added chain, especially to eliminate weaknesses in the transfer points. Material flow and costs can be permanently reduced, and procurement can be optimized using value stream analysis, material cost management, supplier management, as well as reduction of inventories. We support you in the development and implementation of all areas necessary for Supply Chain Management.
Through simplified and improved coordination of internal and external processes via Supply Chain Management, sources of error are reduced and susceptibility to failure decreases. In the area of quality management, we therefore place great value on robust processes within the value creation chain, and especially on the process interfaces. Quality awareness is not restricted to the operating areas but begins with Management, and must in the end be embraced by the entire organization. Total Quality Management and Six Sigma, among others, are some of the approaches successfully implemented by TARGUS to optimize quality in Supply Chain Management.
Complementary to the creation of transparent production processes is also transparency in the areas of information and communication, which are essential for success in Supply Chain Management. Only through coordination, agreement, and integrated management in the value added chain, can effective processes with low downtime be created. We support you in the establishment of company-wide information transparency.
Complex processes are influenced by many factors, and are therefore prone to disruption. Supply Chain Management increases process transparency, in which complex procedures and structures are broken down into clear, smaller processes. In doing so, it is determined which processes are necessary or unnecessary to add value, and they are finally integrated in upstream or downstream external processes. We systematize and standardize your processes wherever possible.
With Supply Chain Management, the total value added chain is rigorously focused on customer value. This view of the value added chain, from the customer perspective, reveals many areas for additional optimization potential and determines value adding and non-value adding processes. Using our wide experience, we strongly pursue these potential savings.
Cooperation in Networks
Concentration on core values, as well as the globalization of the markets, has led to the situation that in many industries, and not just individual companies, business to business value added chains are in competition. In order to achieve competitive advantage, the participating companies must have flexible networks and excel through marketable structures and effective coordination. Using Supply Chain Management, we identify potential and optimize the structures through clear process management.
To plan, guide, and supervise complex value added processes, a special form of controlling is necessary in Supply Chain Management. Information systems are generally used for company internal explanation and analysis of control-related processes. In Supply Chain Management, however, a controlling system is necessary that also includes external elements of the value-added chain. Together with your employees, we develop a supervising and controlling instrument that can be applied to internal as well as external processes.
Business to business cooperation
With the Supply Chain Operations Reference Model (SCOR-Model), the productivity of Supply Chain Management processes can be measured and compared. In addition, the SCOR-Model allows communication between the affected companies. We gladly support you in this area.
Through the development of a Supply Chain Management strategy, internal and external processes can be harmonized and coordinated. Complex change processes are broken down into smaller projects. This way, transparency is created and the trust and engagement of your employees achieved. With experience, rigorous approaches, and rapid implementation we develop compelling solutions and achieve fast results in Supply Chain Management. As experienced management consultants, we support you in the pilot project and implementation of planned measures, as well as in training or coaching for your employees.