11 juli 2023

Buck Consultants International lanceert ‘DE-5’ Proprietary Framework for Value Chain Management

Voor bedrijven die hun strategie willen herzien heeft Buck Consultants International een nieuwe aanpak ontwikkeld ‘DE-5' Proprietary Framework for Value Chain Management. Eén van de meest bekende financiële en economische media Bloomberg besteedt hier vandaag aandacht aan.

Lees hieronder het hele artikel, of via Bloomberg.com press-releases

Buck Consultants International lanceert ‘DE-5’ Proprietary Framework for Value Chain Management

Based on decades of data and thousands of data points, BCI Global's DE-5 framework is offered to multinational companies looking to improve their supply chains.

International management consulting firm BCI Global has announced its five-point ‘DE-5’ framework. The firm claims the framework will help businesses develop resilience and operate successfully in a climate characterized by volatility, uncertainty, complexity, and ambiguity.

The framework aims to reduce risk in five major areas linked to the operations of many multinational companies. While there are vast differences between various companies and industries, these five points guide BCI Global and its clients in working to ensure sustainable and resilient operations.

The first point in the framework is ‘De-coupling’: Over the past six years, increasing trade tensions have led companies to decrease their exposure to certain regions. Although those regions remain important markets, their competitiveness as a global production hub has been decreasing due to rising costs of labor and a more difficult regulatory environment.

The second point in ‘De-5’ is ‘De-single sourcing’. This relates to the recent global economic disruption that has exposed the vulnerability of the world's supply chains, especially with the advent of the just-in-time manufacturing model. According to Rene Buck, BCI’s CEO, “there was a point during 2020 when the operations of more than 90% of automotive manufacturing plants in Europe were affected due to lockdowns. To address this, many companies are now looking to multi-source.”

Thirdly, the framework includes ‘De-risking supply chains’. Buck says “companies will look to de-risk their supply chains through more intensive inventory planning. This includes increasing the amount of inventory held, necessitating the need for more warehouse space. While this reduces risk, it also represents significant costs, such as having to set up new production and distribution operations or expand or consolidate. Other methods include demand forecasting by AI.”