Business Transformations are again in fashion. In the late 90’s they were being driven by aggressive vendors; now they are driven by simplistic academic theorists.

Both groups have little, if any, real life practical experience in supply chain management. Leading management academics today contend that every supply chain in the world should be same -Agile, Adaptable, and Aligned. We believe this is arrogant. It is like saying every woman in the world should wear size 7 dress – it sounds sexy, but is impractical.You can get more information digital business transformation through the online resources.

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Despite huge advances in decision support tools, the dream of mass customisation is still out of our grasp today. Consequently, efficiency and agility remain diametrically opposite poles on the same continuum.

However, that does not mean that every organisation, no matter what industry or what strategy, should congregate to the holy grail of agility. In fact, on the other end of the continuum, there is substantial concentration of industrial investment, where business imperative is to drive the last fraction of cent out of costs.

A supertanker of 350,000 Metric Tonnes, when fully loaded, does not leave much room for agility; and a large amount of today’s crude oil is still being carried by such tankers. The number of examples are just as numerous (perhaps more) than those quoted by the academics – ranging from natural gas to petroleum to ores, coals, and mines – where the entry ticket to economic activity is so high that subsequent industrial systems leaves room for neither agility nor adaptability.

 

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