Question

How to apply the managerial lever in cacao supply chain

Answer 1

Supply chain and business leaders within manufacturing companies continue to face broad challenges. A challenging global economy, Brexit, intense competition and relentless pressure to control costs figure into their every decision. To stay competitive, they must choose their response carefully. Our recent report indicated that manufacturing companies are adopting new innovative supply chain tools and enhancing more traditional ones.

The top supply chain levers

In our recent survey, Manufacturers cited the top two levers – improving demand forecasting and inventory management – as key to evolving their supply chain. This reflects the drive to increase working capital efficiency, whilst at the same time maintaining high levels of customer service.

This balance is increasingly difficult due to issues throughout the supply chain:

Forecasting volatile SKUs

Demand aggregation across multiple channels

Increasing drop frequency with short lead time fulfilment

Complex order orchestration

Constrained manufacturing such as long lead times, low make frequency, and large batch size

Companies are increasingly optimising these two divergent needs (customer service versus working capital efficiency) using a new approach to their supply chain design – segmentation.

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Answer 2

· The newly-formed Retailer Cocoa Collaboration strongly ... of the founders of RCC and responsible sourcing manager at ... that the key lever for change within the cocoa supply chain ...