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Supply Chain Design S1/E6: 10 Misconceptions in the "Make or Buy" Approach

Supply Chain Design is Cross-Departmental

Are strictly controlled supply chains the solution?

Suppliers are not just providers. Especially not when there is a strong order-specific focus.
Suppliers are not merely providers; they must be integrated into the project management system early on. This starts with the so-called Request for Quotation (RFQ), where rough sketches and drawings are provided, and initial thoughts on labor hours and quantities are discussed.
With the awarding of the contract, a joint work preparation begins. Components and their subcomponents are broken down into ideas and assigned start and end dates. Ongoing quality and cost control is crucial throughout the process.
To establish a comprehensive supply chain model that incorporates individual components and aligns them for synchronized execution, the catuuga Scouts support both the client and the contractor (system partners) in designing complex project models that are reusable and prepared for streamlined orchestration in the future.
The mere handover of drawings and parts lists leaves too much room for interpretation in project execution, which is often only noticed when it's too late. The catuuga Solution Workbench (SOLWO) is an essential tool for orchestrating a network of supply chain nodes.
It is crucial to have an overview of every node in the supply chain at all times to respond quickly when something doesn't go as planned. This applies not only to the status but also to a network-wide, ongoing cost control, especially in machinery and equipment manufacturing.
Through continuous communication with suppliers and close monitoring of processes and costs, potential problems can be identified and resolved early before they have a larger impact.
Close collaboration with suppliers is indeed crucial for smooth project management, but it can also lead to dependency and reduced flexibility. Do you believe that a strictly controlled supply chain is worth the potential risks?
Share your opinion with us and participate in the debate in our forum HERE.