A new model of supply chain planning is long overdue: The “Triple I” standard

While the traditional practice of silo-based supply chain planning appears to be a hard habit to break, there are encouraging signs of a shift towards a more integral approach. Dynamic planning entails continuous and real-time consideration of all aspects of the supply chain.

“Many companies still take a traditional approach to supply chain planning,” says Martin Verwijmeren, CEO and Co-Founder of MPO. “In fact, they often have completely separate ‘worlds’ with different processes, different systems and different people. Despite manufacturers in various industries – from healthcare to manufacturing – expressing so many good intentions to change, these organizational silos are still the reality in many cases.”

“On the systems side, which is our area of business, this means that we come across companies where different disciplines are using different systems, often with only a limited degree of integration. For example, sales makes the monthly forecast in consultation with production, and then the weekly planning for the warehouse and logistics is derived from that. The main reason that this approach is allowed to continue is because people are satisfied with the simplicity of it.”

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