Growing need of web-based connectivity in Supply Chain
With the fast growing world of information and technology, the economy is facing large scale changes in customer demands, supplier viability and financial capacity. However, most of the businesses are finding it hard to adapt to sudden changes in market brought about by increasing competition and changing market dynamics.
Lack of flexibility, slow response capability, failure to anticipate and adjust to changing demands lead to loss of financial resources, diminishing performance standards and strain in customer and supplier relationships. The problem lies in traditional business operations which are based on functional competency, sequential thinking, and time consuming hierarchical decision making. These principles lead to a solid business structure but turn out to be slow and rigid when it comes to the current Information Age and recessionary times.
Now we need a broad business model makeover focused on increasing across-the-board responsiveness. There is a need to maximize customer connectivity and increase overall supply chain responsiveness. In order to get ubiquitous web-based information within a responsive supply chain business model, a new, more sustainable operating paradigm — characterized by channel collaboration, parallel thinking and processing, and distributed/networked decision making, the companies need web-based information connectivity. For this, the companies must advantage of growing social networks supported by chat rooms, blogs, Wikis, Twitter, etc., and start-up microblogging.
The market demands today that one has to stay connected to the customer and be informative about the changes and advancements taking place. Value-based connectivity can eliminate steps and risk in the go-to-market process. 21st-century web-enabled response-based supply chain management is growing, and will continue to grow, as a decisive value differentiator.
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