Supply Chain Discussion: What Makes a Supply Chain Resilient?
Paul Webb is the regional vice president of enterprise supply chain at Coupa. They are a spend management software company and platform. Spend management software generally, tracks and manages non-payroll business expenses such as the cost of raw materials and components, or services such as marketing and subscriptions. In this interview, he speaks about how efficiency, flexibility and responsiveness are the key components of a resilient supply chain.
He says that if “disruption” is one word that supply chain managers can’t avoid hearing today, “resilience” should be another. And also that without the indispensable components of efficiency, flexibility and responsiveness, there is no resilience, and absent that, coming back from disruption is infinitely harder, maybe impossible.
“Have we structured our supply chains to be as efficient as possible? So a key question would be, do you know how much of your spend or unit volume is going not by design, and what is the cost per unit of that? Do we know how much is by design versus [by] rogue shipment?”
"In my experience, when these disruptions come through, it's really not a case of just one disruption. Normally, you have this waterfall effect of one disruption leading to something else.” - Paul Webb
This again highlights for us at Nucleus, the need for supply chain optimization. That is in effect what he is talking about. And one of the best and most cost-effective ways to do that is by partnering with a 4PL Supply Chain as a Sevice provider. Like Nucleus.