business, New Product Development, Supply Chain Strategy
Supply Chain Management NPD
August 15, 2015 - business, New Product Development, Supply Chain Strategy
This study investigated the re-inforcement of the supply chain – New Product Development – of an organisation to enhance their construction delays, respect on-time delivery with adequate quality. In order to achieve their Quality, Deliver and Cost (QDC) targets they wanted to explore the possibility to further involve their suppliers in the operation process.
The organistion offer a complete range of services including consultancy in engineering services (intangible goods) and innovative technology products (tangible goods) comprising equipment, components and systems for the Energy sector in which New Development Products in the supply chain is very important. The organisation proposes customised equipment, designed and manufactured by the company with a supplier structure based in 45% in the UK and 55% global . And in the future, the company expected to expand further their supplier base globally through New Product Initiatives to strengthen their upward supply chain.
The analysis of their market and the creation of a gap analysis showed that the companny was threatened by companies having a better strategic management of their supply chain. In order for the organisation to strengthen its market position, improve its operation function and gain new market shares, I reveiwed their current supply chain structure and their relationship with their suppliers.
As recommendations, I proposed to modify their supply chain structure and relationship with its current suppliers in the New Product Development process and their involvement in the organisation value chain, and creation of a strong supplier selection process. The proposed new strucutre aimed at developing a NPD strategic approach to better reach an economies of scope and scale in their products and increase effectiveness and time- delivery. It will also enahnce communication and cost-effective capabilities and engineering services amongst the suppliers involved. These recommendations will provide an efficient and innovative approach to achieving success in a very competitive market, lowering overhead costs by improving productivity. It will also provide mutual benefits in terms of outcome and goal achieved.
