Supply Chain Optimization: Building the Strongest Total Business Network

The authors, principals of A.T. Kearney Management Consultants, have helped many businesses achieve performance gains. Drawing on their experience, Poirier and Reiter explain how companies should eliminate every inefficiency existing within their delivery systems and redefine and reengineer supply chains to establish an error-free, mutually beneficial network extending from original supply to final consumption. Unless such supply chains are formed, they argue, corporations may find themselves out of business in today's competitive environment. The authors present a complex and innovative proposition in an insightful, straightforward way, carefully defining specialized terms and illustrating their theses with actual case studies. They stress that firms should focus on what consumers consider valuable, with customer satisfaction the key measure rather than benefit to manufacturer or retailer. Information technology capable of providing accurate, up-to-the-minute data plays a critical role in developing a successful inter-enterprise supply chain partnership. Human frailties--a win-lose attitude, reluctance to share and lack of trust--are what will most likely cause a partnership to fail. This work warrants scrutiny by manufacturing and retail executives. Illustrations not seen by PW. (July)