Supply chain strategy

Supply chain segmentation

The complexity of global supply chains is constantly growing, for instance due to developments such as changing customer expectations due to e-commerce, as well as individualization, minimal lot sizes and high expectations of product availability.

Globally operating procurement and distribution networks are faced with fundamentally altered service level requirements and immense cost pressure – as well as unstable political situations and dynamic global markets.

A "one-size-fits-all" approach to supply chain alignment is no longer effective and must be replaced with a high level of customer orientation and the greatest possible flexibility of material and information flows. This requires businesses to consistently make use of opportunities for digitization and to use modern technology to create efficiencies.

4flow supports customers on the path to an optimal supply chain alignment, as well as with complex and international material flows and in projects involving just some segments of the supply chain. The identification of individual customer requirements and the cost-efficient achievement of promised delivery guide our models. Combined with knowledge about markets, industries and available technologies, these principals help us create a custom solution flexible enough to withstand variable conditions.

More specifically, requirements and supply chain are aligned and harmonized. Results of this harmonization include constant availability, high service levels and resilient supply chains for critical products. For standard products, the focus is on efficiency as well as reduction in complexity and costs.

The 4flow supply chain segmentation approach creates sustainable efficiency improvements

Through a tried-and-tested approach to supply chain segmentation, 4flow creates specific and cost-optimized processes while adapting to the market environment, risk profile and technology landscape. Our project experience shows that this can significantly reduce supply chain costs while increasing customer satisfaction.

Practice Strategy

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Benefits for 4flow customers:

  • Customer and product-specific supply chain design
  • Identification and elimination of problem areas and bottlenecks
  • Optimization of inventories and reduction in stock-outs
  • Increased organizational flexibility
  • Improvement of information quality as management decision-making tool