Supply Chain Strategy

A document containing the goals and priorities for managing and operating the supply chain. Generally a supply chain strategy consists of the following:

  • Definition of the supply chain - The scope of products, services and customers included for the document
  • Performance goals - A list of metrics with targeted performance.
  • Prioritization - A ranking of the relative importance of these metrics.
  • Timeline - A schedule of expected outcomes.

Additionally, a company may communicate:

  • Strategic practices - A list of practices (standard process, technology, etc) the company considers of strategic importance.
  • Stretch goals - A targeted performance beyond the above performance goals, considered expedition of achieving longer-term goals and therefore of great value to the company. Achieving stretch goals is often linked to performance-based management/executive compensation.