Supply Chain Synchronization

 

Synchronizing the supply chain is, in essence, getting all of the partners operating in a manner that is mutually supportive (flexible, cooperative) and seamless (smooth, unnoticed by customers).

 

The synchronization process starts with a clear definition of roles and responsibilities.  That is, making sure that all supply chain partners know specifically what tasks they are expected to perform (e.g. storing goods, modifying them, reassembling quantities, price marking), when they are expected to do them (lead times and deadlines), how they are expected to perform them (i.e. to what operating specifications), and what results are expected (sales quotas, customer satisfaction ratings).  

 

Often, vertical channel conflict (i.e. between layers of the supply chain) occurs due to ambiguous or conflicting roles and responsibilities.  That is, conflicts such as poor service levels, passive sales efforts, and missed deadlines.

 

On a day-to day basis, many tasks and activities require operating synchronization: entering orders, conforming schedules, tracking shipments, communicating status information, invoicing, collecting payments, processing returns, resolving disputes .  Whenever a partner has a process failure, the entire supply chain may be disrupted and annoying operational conflict may occur.

 

Over time, the bulk of the operating synchronization activity is PSI planning (production, sales, and inventory) which is the information-based scheduling of product flows throughout the system.