Supply Chain Transparency unlocks the way for companies to exert complete control over their value chains and build on resilience, sustainability and growth.
Today's business climate is becoming more and more interconnected and complex. Customer needs and expectations are increasing and businesses, while meeting these expectations, are required to be valuable, profitable, flexible, safe and cost-efficient. Such aspects lead to intertwined and multiplex supply chains that can be difficult to administer. Non-transparent supply chains and indistinct upstream operations can leave companies sightless, resulting in greater uncertainty, a higher exposure to risks and supply chain disruptions. The Supply Chain Worldwide Survey revealed that 70% of the companies surveyed perceive their supply chain as 'very' or 'extremely' complex.
This article is the first of a series of articles aiming to provide you with clear and helpful insights into what supply chain transparency means and why it is essential for companies to embrace it.
It will highlight the added value that supply chain transparency brings. In addition, it sheds light on the capabilities that are required to tackle challenges and to gain full transparency.
Achieving supply chain transparency is the fundamental process of increasing visibility, traceability and transparency by collecting and sharing information throughout the supply chain and communicating it to authorised internal and external stakeholders. It provides the ability to gain insights, learn and act on supply chain information to make better informed decisions.
We distinguish three levels of supply chain transparency:
The drive for transparency covers different elements depending and requires involvement of multiple stakeholder groups. Although this makes transparency challenging, it is a very valuable and essential exercise. When different groups successfully collaborate, value is realized across key business units and business functions.
Having the right mix of capabilities is fundamental in achieving true supply chain transparency and realizing its value potential.
In today's world, supply chain transparency has become crucial in order to handle uncertainty, exposure to risks and supply chain disruptions. Companies that implement full transparency receive multiple benefits enhancing business value across the complete chain. However, obtaining transparency is a challenging path. Combining the right set of skills is essential to pave the path to transparent supply chains that are built on resilience, sustainability and growth.
Please contact Ramanathan Venkataraman, Audrey Daluz, Hylke Schaaf or Sabine van Dooren if you want to know how KPMG can support your company. Our team has extensive experience in combining the right expertise and tools to strengthen supply chains.
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