Issue link: https://iconnect007.uberflip.com/i/1389320
22 SMT007 MAGAZINE I JULY 2021 key words: visibility, predictivity, identifying, monitoring, communicating, and balancing. ese are positioned in the to-do list calling for planning and actions to dodge future sup- ply chain challenges. Visibility: A crucial question to address is the level of visibility throughout the supply chain. In the intricate supply chain network, know- ing the direct suppliers is the starting point, not the end point, to acquire an adequate vis- ibility of the supply chain. Understanding and knowing the second-, third- or even fourth-tier suppliers is also a part of the equation of sup- ply chain management to gain adequate visibil- ity and transparency. Predictivity: It is not hard to look back to make conclusions, but it is dauntingly demand- ing to predict the future accurately. However, in supply chain management, what level of predictability is required is a necessary-evil question to tackle. e better the visibility, the more thorough planning, the higher level of predictability can be achieved. Identifying: To identify a list of key parts for an end-use product is easier said than done; it takes knowledge and effort to make a "right" list. In the Toyota case, the automaker came up with a list of about 1,500 parts it deemed to be necessary to secure alternatives for or to stockpile. Monitoring: Set a monitoring system in motion that gauges the network of suppliers that produce those key parts to ensure planned delivery from the chain of suppliers—another deliberate and elaborate effort. In tasking, one important question to ask is, "What is the tech- nology employed to monitor the chain of sup- ply?" Timely adopting of evolving technology, to leverage the capabilities of a digital tool to facilitate data acquisition and the flow of dig- ital information in supply chain, is key to an agile operation. Communicating: e following all play an essential role in the integrity of a supply chain: Effective and efficient communication between the OEM and Tier 1 suppliers; the data flow between the OEM and the Tier 1 suppliers; communication between the Tier 1 suppliers and their network to include Tiers 2, 3, 4; and the feed-back loop. Balancing: To a manufacturer in produc- ing and delivering a given product, inven- tory management is just as important as sup- ply chain management because the inventory directly impacts the bottom line of a business. Reducing and minimizing the inventory of a part/component of a given product is an ongo- ing effort. Questions to address are: 1. Do all strategic raw materials (with sound justification) have alternate source(s)? 2. Do all mission-critical components have alternate source(s)? 3. Which parts/components call for stockpile? For those stockpiled parts/ components, what is the "days in inventory" and what is the "dollar inventory" that can be justified? Synchronizing with the holistic manufactur- ing strategy, be it supplied locally or globally, the goal is to reach an optimal level of inven- tory. It is an intricate balancing act to achieve both a secure supply chain and an optimal inventory management, which requires knowl- edge, know-how, and effort. It is not hard to look back to make conclusions, but it is dauntingly demanding to predict the future accurately.