In most companies, supply chain is, by definition a shared service. Shared service organizations are set up to support the company’s core business functions. However, where supply chain can put itself at risk is by mistaking what role it plays in the overall strategic direction of the company.
The organizations that make up the company’s core competencies will define the company’s strategic goals. Supply chain leadership should offer expertise on how they can support the core business in achieving these goals as effectively as possible. The nuance is subtle but critical to successfully partnering with the core business functions. There will always be the need to set strategic goals and a vision within any shared service organization. However, the focus with the core business functions should always be on support. Read More