How to successfully combine your business goals with a future-oriented supply chain strategy

The demands on companies are constantly growing: digitalization, volatile markets and complex supply chains present managers with new challenges. In this environment, a future-oriented supply chain strategy is not just an operational tool, but a key success factor for efficiently achieving business goals, minimizing risks and ensuring sustainable competitiveness.

The days when the supply chain was exclusively geared towards cost optimization and smooth processes are over. Today, the supply chain must be as flexible, resilient and innovation-driven as possible in order to adapt dynamically to the company's strategic goals. Aligning the future-oriented supply chain strategy with the business objectives ensures that all processes - from procurement to production to delivery - contribute to growth, customer satisfaction and sustainable corporate success.

Why the alignment of the future-oriented supply chain strategy with the business objectives is crucial ?

Today, an efficient supply chain is closely linked to corporate strategy. The advantages of strategic coordination can be seen in many areas:

- Increased efficiency and cost optimization through process automation (e.g. RPA)

- Risk minimization through comprehensive due diligence and scenario analysis

- Increased agility through the use of lean management and just-in-time principles

- Sustainability and compliance through the integration of ESG criteria (environmental, social, governance)

- Better basis for decision-making through business intelligence and advanced analytics

Adidas provides a convincing example: by integrating real-time data into supplier management, the company was able to shorten the time to market for new products by up to 40% and reduce storage costs by around 20%. Delivery reliability rose to over 95%. These figures illustrate how a strategically aligned supply chain contributes directly to achieving key business objectives - from increasing efficiency to customer satisfaction.

Strategic orientation - methods and success factors

The link between supply chain strategy and business objectives begins with a clear definition of the company's priorities. Whether growth, innovation, sustainability or cost leadership - the supply chain must support these goals. This means that processes, technologies and partnerships are specifically geared towards achieving the desired results.

Important methods and processes that are used here:

- Sales & Operations Planning (S&OP)

- Supplier Relationship Management (SRM)

- Total Cost of Ownership (TCO)

- Demand Forecasting

- Supply Chain Risk Management

A company pursuing a growth strategy, for example, needs an agile and scalable supply chain that can react quickly to new market requirements. Anyone who defines sustainability as a goal must create transparency along the entire supply chain and integrate ecological and social criteria into the selection of suppliers and materials. The supply chain thus becomes a strategic instrument that not only reduces costs, but also promotes innovation and secures competitive advantages.

Technology as an enabler for strategic alignment

The most important technologies and tools include 

- Cloud-based supply chain management systems

- Business intelligence platforms

- Artificial intelligence (AI) and machine learning

- Internet of Things (IoT) for real-time tracking

- Blockchain for transparency and traceability

- Digital twins for the simulation and optimization of supply chains

Digital technologies are the key to strengthening the link between the supply chain and business objectives.

Real-time data provides the basis for well-founded decisions and enables proactive supply chain management. Companies that make targeted use of modern technologies can identify risks at an early stage, exploit opportunities and increase the speed of implementation.

Digitalization also opens up new opportunities for the integration of sustainability goals. For example, companies can monitor the carbon footprint of their supply chain in real time, source sustainable materials in a targeted manner and efficiently meet regulatory requirements. This makes the supply chain a driver of innovation and sustainable business development.

Agility, resilience and stakeholder engagement

A supply chain that is aligned with business objectives is flexible and resilient. It can react quickly to unexpected market changes, supply bottlenecks or geopolitical risks. The diversification of suppliers, the development of strategic partnerships and the continuous monitoring of risks are key building blocks for strengthening resilience.

Important measures for more agility and resilience:

- Multi-sourcing instead of single sourcing to reduce dependencies

- Continuous scenario analyses for early detection of disruptions

- Establishment of redundant structures for critical components

- Close stakeholder engagement and regular communication with all partners

At the same time, stakeholder engagement is crucial. Working in partnership with suppliers, customers and internal teams promotes innovation and makes it possible to continuously improve processes. Companies that rely on open communication and the exchange of data create trust and increase the adaptability of their supply chain.

Continuous success monitoring and improvement

Aligning the supply chain with business objectives is an ongoing process. Regular performance reviews, the use of KPIs and a willingness to continuously improve are crucial in order to respond to changes and remain successful in the long term.

Important KPIs in supply chain management:

- On-time delivery rate

- Perfect Order Rate

- Inventory Turnover

- Supply Chain Cycle Time

- Cost-to-Serve

Companies that continuously analyze and adapt their processes secure competitive advantages. The introduction of performance monitoring systems makes it possible to identify weaknesses at an early stage and initiate targeted optimization measures. Involving employees and stakeholders in the continuous improvement process strengthens skills within the company and promotes a culture of innovation.

Setting the course for sustainable corporate success

Linking supply chain strategy and business objectives is essential today in order to survive global competition. A strategically aligned, digital supply chain creates the basis for growth, innovation and sustainable corporate success. It makes it possible to react flexibly to changes, minimize risks and meet customer expectations.

With clear goals, digital expertise and a partnership-based approach, you can create the basis for a future-proof supply chain. Invest in the further development of your supply chain and prepare your company for the challenges and opportunities of tomorrow.

ERIKESLY Advisory & Consulting supports you in shaping your supply chain strategy individually and sustainably. Benefit from our expertise in the areas of digitalization, process optimization and sustainable business development. Please contact us to find out more about our solutions.