Why diagnose supply chain uncertainty?

Authors

Tillmann Boehme, University of WollongongFollow
Paul Childerhouse, University of Waikato
Eric Deakins, University of Waikato
Andrew Potter, Cardiff University
Denis R. Towill, University of Wales

RIS ID

37415

Publication Details

Boehme, T., Childerhouse, P., Deakins, E., Potter, A. & Towill, D. (2008). Why diagnose supply chain uncertainty?. Operations Management, 34 (3), 19-23.

Abstract

Supply chain performance is inherently chaotic and unpredictable, and most supply chain professsionals seem to spend much of their time raecting to the consequences of the unknown.

Following on from 'Supply chain diagnosis' - Operations Management, Vol 34 No 2, 2008 - this article describes the nature of uncertainty, and explains why exemplary supply chain performance remains an elusive goal for most organisations. Uncertainty levels are evaluated for a wide range of organisations, using the 'uncertainty circle' concept, thereby enabling benchmarking comparisons of supply chain performance to be made: since low levels of uncertainty have been shown to correlate directly with best-in-class practice in which the supply chain is highly integrated.

A case study demonstrates the potential of the method for benchmarking supply chain performance against other industry players; for setting the improvement agenda; and for tracking changes in supply chain effectiveness over time.