Increase of performance orientation through a supply chain target operating model in the chemical industry

Initial situation

A global trading company for chemical products needed to improve its supply chain organization
Speed and reliability were crucial to meet increasing customer expectations
Product prices and market share where under high pressure, and profitability was at a critical level
The current supply chain was centrally hosted, and separated decision processes from the business functions with the strongest knowledge and insights
The supply chain organization had to be de-centralized to increase performance orientation and customer centricity, while group synergies had to be maintained and strengthened

Key roles defined

0 %

OTIF performance achieved

Mindset

Shifted towards higher customer and performance orientation

Apply design principles to drive the supply chain management operating model aligned with the leadership that
- The organization follows clear E2E logic
- Supply chain executes the business strategy, logistics is a value driver
- Sales, Inventory, and Operations Planning (SIOP) is for planning, Order-to-Cash (O2C) is for execution
- Decision-making takes place at the lowest possible level of hierarchy
- Clear accountabilities are defined within the value streams
Permanently establish target structure through new key roles and new organizational chart

Improvement of investment decision reliability through dynamic modelling simulations in the chemical industry

Reduction of cost and delays using LEAN principles in PLANT Engineering in the chemical industry

Establishing global innovation excellence by introducing an agile innovation process

Improving employee satisfaction through AI-supported evaluation of surveys in the chemical industry

Profitability improvement by establishing a unified Business Excellence initiative in the chemical industry

Global rollout of a production system through a lighthouse approach in the chemical industry

All cases

Discover more references.