Tuesday, November 15, 2011

JIT-Just In Time by Country Supply Chain and Partner Resale

Alternatives for Just In Time supply chain purchase models.  
Approaches used by some companies in order to meet the local demand and improve your go to market value proposition. 

Option 1 - Exception
IF supply in country isn't going to meet the timeline, plan B extends others out of country based on local logistics and regulatory rules (cost and authority to purchase outside the country). 
  1. The control for this rare occurrence, MUST assume an authorized user (segregation of duties manages cost to country). 
  2. To enable this exception path, the rule MUST assume that the P&L owner by Buy-Sell, a budget manager or operations manager partnered to support a VP with a P&L and resources 
  3. A financial analyst partnered with the budget and operations manager assigned to the same VP with P&L responsibility.  
  4. Each shares a grouping of countries within a certain buy-sell
    1. Based on these two roles responsibility, each must have visibility and adjust expense forecast based on the higher cost model.   
    2. Consider the system integrator model, as an alternative to this out of country model. 
Option 2 - Exception 
Supply source by partner-In a resale model the partner has a clear understanding of their responsibility.   
  1. What components and when.  
  2. The resale cost or discount offered to a partner expects the cost to transfer, in addition to the partner having access to more alternatives.  

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