Completed in June 2005, the first phase of research focused on understanding excellent supply chains. It involves identifying and researching the organizations that drive today’s successful supply chains in a broad range of industries, with the aim of understanding the evolving business strategies, operating models, practices and principles that are responsible for driving improved performance.
The working hypothesis that drove the research during Phase I presumed that an excellent supply chain has the following characteristics:
1. Supports and enhances the strategy of the business, as well as being an integral part of the overall design of the business.
2. Embodies a complementary (not necessarily unique) operating model that creates competitive advantage.
3. Emphasizes high-performance execution, where performance is defined by a balanced set of business-relevant objectives or metrics.
4. Leverages a tailored (small) set of business practices that support the above. These business practices are consistent, reinforcing and cross-optimized.
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