Failure happens. For a myriad different reasons, things go wrong. And at an organisational level, the consequences will range from embarrassing to catastrophic. It is, simply, unrealistic to expect things never to go wrong.
For the past 25 years, we marketers have been cheerleaders for own demise. We bemoan our lack of influence at the Board and attribute it to not speaking the language of the Board, that is, short term financial measures. We say that we are unworthy of leadership roles because we are unaccountable, the Department of Spending. Naturally, other functional groups are only too happy to oblige us and further reduce our ability to lead strategic development.
Turbulence and volatility are the prevailing characteristics of today’s business environment. Gone are the days when organisations could plan ahead with some degree of certainty. Now the risk of relying on forecasts and buying or making products ahead of demand is significant. More than one business has paid the price of inventory obsolescence and write-offs on the one hand or lost sales on the other because of forecast error.
Building on my recent blog on the “get rights” of Supply Chain Strategic Initiatives, it is worth exploring four critical headings for any supply chain leaders To-Do list.
Crises happen. Organisations might like to wish that they didn’t, but the reality is that the unexpected has an unhappy knack of occurring.
Most organisations already have some of the elements of this framework, but it is rare to find a sales target system that features the entire framework in a holistic fashion. This framework comprises key practices that are required for ensuring that the performance measures used in the target setting process and the targets agreed are effective.