CPG markets are consumer markets. Consumers nowadays have less brand loyalty then they used to and want products and brands that fit their mood and lifestyle. When one of these changes they change brand preference. Internet is both a source for product information and a tool for tailoring products to personal preferences.
Consequentially CPG companies permanently have to adapt their business strategies to these dynamics. Next to traditional delivery via retail stores they have to devise omnichannel supply chain concepts and their own (online) strategy of direct delivery. The right mix of value propositions is a key ingredient to being successful in this challenging era.
A working and successful business strategy requires an aligned supply chain strategy. Supply chains must be supportive to the business model in order to realize business objectives.
How ORTEC adds value
ORTEC works with CPG companies to analyze supply chain strategy alignment with business strategy.
Based on the SCOR framework, ORTEC developed the supply chain performance assessment. The supply chain performance assessment addresses the relevant product market combinations, their respective value propositions and their consistency with supply chain strategy.
Value propositions are converted into target performance indicators for both external (customer side) and internal strategic metrics. Current performance will be assessed and gaps between current and target performance identified. By means of root-cause analysis, ORTEC’s supply chain experts will identify the performance gaps in your supply chain and the opportunities to close them.
The outcome of the supply chain performance assessment is a portfolio of potential improvements ranked by impact and required effort. And a starting point to an optimized supply chain with maximal strategic alignment.