Purpose -This paper aims to present an approach that two leading supply chain companies have used to identify and design alternative supply chain solutions according to their customers' demand chains. Design/methodology/approach -The paper describes industry best practice. Findings -The supplier of telecommunications equipment found that by deploying three different supply chains that corresponded to three types of customers' demand chains it could simultaneously improve customer satisfaction and effectiveness. The supplier of fasteners found it could serve its different industrial customers with essentially two supply chain designs.Research limitations/implications -This is a practical best practice description and does not aim to contribute to academic research. However, there are no academic contributions on procedures for supply chain re-design according to customer demand chains. Thus, the best practice described in the paper implies a need for research on this type of supply chain customization. Practical implications -Customer requirements and collaboration capabilities can be systematically taken into consideration in supply chain designs. Originality/value -The paper presents a practical approach for taking both product characteristics and customer differences into account in supply chain re-design.
It is evident from examples such as Dell that successful shapers of the supply chain really do change the game, but how can your company do it? Value reengineering is a new approach for how a company can systematically implement breakthrough solutions for its customers. The key is finding the right value offering point in the customer:s demand chain. A company can then carve‐out a new business model that offers better value to the customer in a way that also helps lower costs.
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