Supply Chain Drivers

Responsiveness

Efficiency

1. Production

- Excess capacity

- Flexible manufacturing

- Many smaller plants

- Little excess capacity

- Narrow focus

- Few central plants

2. Inventory

- High inventory levels

- Wide range of items

- Low inventory levels

- Fewer items

3. Location

- Many locations close to customers

- Few central locations serve wide areas

4. Transportation

- Frequent shipments

- Fast & Flexible modes

- Few large shipments

- Slower and cheaper modes

5. Information

- Collect & share timely and accurate data

- Cost of information drops while other costs rise