Supply Chain
Analytics and Integration

Root causes of supply chain inefficiency

At its core, supply chain integration is the management and coordination of materials, information and finances across multiple trading partners. At HAVI Global Solutions, we manage all these factors with a relentless focus on helping our clients efficiently and effectively satisfy consumer-driven demand.

Regardless of your supply chain’s size or scope, most of the business issues we address for our clients can be traced back to eight fundamental challenges – which is why we have built our services to meet them.

	Accuracy: the precision for better planning and forecasting of demand at all levels of the supply chain. Accuracy is one of the foremost drivers of improved efficiency.
	Visibility: the sharing of supply and demand information across supply chain partners to enable smarter business decisions. Improved visibility, together with sharpened accuracy, can lead to substantial savings. In one recent client program, HAVI Global Solutions identified strategic insights and implemented supply chain changes that more than doubled the inventory run-out performance at retail locations, saving our client millions of dollars.
	Velocity: the speed at which inventory and programs move through the supply chain. The quicker your inventory flow, the less total inventory needed, which means that velocity can affect your total delivered cost. It can also affect the freshness and time-to-market of a client’s product at retail, which in turn impacts consumer marketability. Many clients ask us to help them reduce supply chain response time, providing them a strategic competitive advantage.
	Variability: the number and size of changes in demand and supply planning. In this case, change is bad. When changes become fewer and smaller, our clients enjoy more efficient production, improve asset utilization, and reduce or eliminate disruptions.
	Consistency: the establishment of repeatable processes that can be leveraged to manage the supply chain. Inconsistent processes cause waste, increase cost and impede quality. To avert these hazards, we can continuously measure and adjust our clients’ executional processes over time.
	Information efficiency: the cost of achieving visibility vs. the financial benefits of it. By identifying the sweet spot between these two competing dynamics, we bring our clients a rational tradeoff of more knowledge at less cost.
	Misaligned metrics: those instances where different members of the supply chain are rewarded according to different measures. While no supply chain is perfectly aligned in every way, the most damaging misalignments are those that drive dysfunctional supply chain behavior. These often present themselves as a lack of shared metrics, or even competing metrics, across supply chain partners. As our clients’ supply chain integrator, we help ensure a communal push toward shared metrics, thereby promoting continuous improvement and heightened efficiency.
	Isolation: the practice of making supply chain business decisions in a silo. HAVI Global Solutions promotes cooperative information-sharing across supply chain members, including our clients’ own functions. This collaboration guides decision-making and improves the sense-and-respond capabilities at the operational level.

By overcoming these obstacles effectively, HAVI Global Solutions ensures better planning of overall production and distribution. That means lower total supply chain costs for our clients – a savings which can then be redirected into capital investment opportunities and other areas of the business.