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Here are some tips and valuable resources

Within your job, maintaining partnerships is a strategic opportunity, not just a transactional process. Building stronger, more collaborative relationships with your partners enhances visibility, streamlines operations, and helps mitigate risks. By fostering digital collaboration, you can drive greater efficiency, reduce costs, and ensure a more resilient supply network, ultimately contributing to the long-term success of your organization. Here are some tips and tricks.

  • You indicated that you do not see increasing demand to connect on individual customer platforms to share data on transactions and production. Industry leaders are already in the process defining their supply chain roadmaps and interest in digitizing supplier collaboration has been increasing. You can anticipate the request by mapping your own customers and process onto how you already collaborate today.
     You indicated that you do not see increasing demand to connect and share data across customer and partner platforms. No problem, industry leaders are in full progress defining their supply chain roadmap. You can anticipate growing requests by mapping your collaboration touchpoints across the broader partner network and not just direct customers.
  • You indicated that your system architecture does not allow for standard integrations with cloud applications. When you’re next in a position to define or adjust your source systems, it would be a great plan to try and foresee an integration workstream that includes the baseline of standard integration documentation.
     You told us that your current system architecture does not support standardized integration with external cloud-based network platforms. That’s ok, when evaluating or updating systems, include a network integration track with a baseline of standard documentation.
  • You responded that your customer collaboration is not handled by a centralized function. That’s ok but, if you have the capacity, it would be a great next step to consider establishing a centralized team—ideally one that covers all of your production sites—for consistent and efficient collaboration with customers. 
     You indicated that your collaboration with external parties is not coordinated centrally within your organization. No problem but, if you have the capacity, it would be a great next step to consider establishing a centralized collaboration hub that spans all relevant stakeholders across the supply chain network to ensure consistent and scalable interaction with customers.
  • You told us that your data is not shared consistently across your customers. Requests for information may vary in scope and format but the important thing is that such data can always be transformed into a standard format. You should consider implementing a uniform data collection and documentation process from your side, which will allow you to start from a common understanding, once there is a request to share. 
     You indicated that data is not exchanged consistently across all network partners. No problem, it can be challenging. While each request for information may be different (or in a different format), such data can be transformed into a variety of formats. You should consider implementing a uniform data collection and documentation process from your side, which will allow you to start from a common understanding, once there is a request to share.
  • You indicated that you would not like to be involved in your customers’ transformation journeys around SC supplier collaboration. At a minimum, we would recommend that you engage with your customers to better understand their digital roadmaps. While collaboration is transactional at its core, it will still require some level of adoption from your side to ensure operations run smoothly.  You told us that you would not like to be more actively involved in your customers’ or partners’ digital supply chain transformation initiatives. No problem but, at a minimum, we would recommend that you engage with your customers to understand their digital roadmap. While collaboration is transactional at its core, it still requires some level of adoption from your side to ensure operations run smoothly.
  • You indicated that your planning decomposition does not include processes for supplier collaboration. That’s ok, a great start is to identify where the interaction points are, and to start collecting information on how it is prepared and executed today. You responded that your planning framework does not include standardized processes for upstream and downstream network collaboration. All good, a great start is to identify where the interaction points are, and to start collecting information on how it is prepared and executed today. (e.g., mapping collaboration moments across your network: plan handovers, shared forecasts, constraint signaling, and document how they currently function).
  • You indicated that you do not have a uniform way of working with suppliers for sending and receiving supply chain transactions. No problem, there‘s no “one size fits all” solution in terms of collaboration. Classify your suppliers in groups with common supply chain characteristics, and think about standards fitting per group. You responded that you do not have a consistent approach for exchanging planning-related transactions (e.g., net requirements, ASN, forecast commits) with partners? That’s ok, there is no one size fits all in terms of collaboration. Start by segmenting network partners by common behavior and adopt a tiered standard for each group.
  • You responded that your external manufacturers’ KPIs are not aligned with your internal KPIs. KPIs consist of datapoints, timestamps, a calculation and a review process. Identify where the common ground can be at a certain level of aggregation to start building on an end-2-end view. You told us that your performance metrics are not aligned across internal and external actors in the network. That’s ok, use shared definitions and data sources for cross-party KPIs to enable reliable network-wide performance review. KPIs consist of datapoints, timestamps, a calculation and a review process. Identify where the common ground can be at a certain level of aggregation to start building on an end-2-end view.
  • You told us that you do not have a uniform (digital) way of sharing and reconciling inventories held at your suppliers. Start small by requesting to your suppliers for your inventories held, at batch level: the expiry date, total batch amount and inventory on hand. You indicated that inventory visibility across the network is not unified. That’s ok, start with key nodes. Track batch-level detail: expiry, quantity, available stock, etc.
  • You indicated that your current supplier collaboration is it still manual. No problem, it’s never too late to explore digital collaboration platforms to centralize supplier interactions and streamline processes! Major features to consider are its integration, exception-based workflow, visualization and user interaction capabilities. You responded that network collaboration is not digitized or is still manual? All good, explore digital network collaboration platforms to centralize supplier interactions and streamline processes. Major features to consider are its integration, exception-based workflow, visualization and user interaction capabilities.
  • You indicated that you do not frequently review and update your supplier segmentation results. We suggest implementing a periodic review process to reassess supplier segmentation and adjust your strategies accordingly—suppliers at the borderline of a segment may require a different partnership approach. You indicated that you do not periodically reassess supplier and network partner segmentation based on both strategic value and operational characteristics. That’s ok, go beyond procurement segmentation. Consider tiering by shared characteristics to guide how you collaborate digitally.
  • You indicated that your contract templates with external manufacturers have not been updated to reflect the digital era. We recommend that you revise your contract templates to be in-line with your company’s current digital requirements and compliance measures. Ensuring that your templates are up-to-date is a great way to support your business in its digital transformation initiatives. You responded that you do not measure contract compliance and performance with real-time or periodic partner feedback. All good, simply incorporate review cycles to prepare and discuss performance. Start with most material metric KPIs and expand.
  • You responded that your contracts have not been digitized beyond being storing as PDFs in an electronic vault. Supplier performance should always be measured against standard parameters, so we recommend that you consider storing your contract standards (lead times, targets etc.) separately in your contract management or ERP system. You told us that your contract terms are not digitized beyond storing PDFs in an electronic vault. No problem, digitize not just the document, but the logic — so lead times, MOQ, tolerances, etc., are system-tracked.
  • You told us that you do not have a process for tracking contract compliance and performance. That’s ok, the best place to start is with your most important KPIs. We recommend that you incorporate review cycles into your supplier relationship management to prepare and discuss performance in line with your biggest priorities. You told us that your contract templates are not aligned with today’s digital supply chain requirements. All good, just revise contract templates to include your company’s current digital requirements and compliance measures. Updated contract templates are a great way to support your business in its digital network transformations.
  • You indicated that you do not have visibility into your suppliers’ supply chains. We recommend engaging directly with your suppliers to map out their supply chain for greater visibility into critical raw materials and sources. You told us that you do not have tiered visibility into your partners’ supply chains. All good, try to engage with network partners to map their supply chain for greater visibility into critical raw materials and sources
  • You indicated that you are seeking visibility into your suppliers’ supply chains. That’s great, having increased visibility into their critical raw materials and sources will aid your operations. The first step should be to engage directly with your suppliers to map out their supply chain. You indicated that you are seeking visibility into your partners’ supply chains. That’s great, having increased visibility into their critical raw materials and sources will aid your operations. The first step should be to engage directly with your network partners to map out their supply chain.
  • You indicated that you do not have standardized process in place to share updates on BOM recipes and production instructions with your external manufacturers. We recommend that you develop standardized protocols for sharing BOM updates and production instructions so that you can already define your governance as of the initial transfer of product/technology.
  • You indicated that you do not have visibility into your external manufacturer’s production performance. That’s ok, it may seem daunting but you can start small as there is no immediate need to make your monitoring real-time. You may want to consider beginning with aggregate datapoints and metrics, as these will help you to identify continuous improvement initiatives.
     You indicated that you do not have visibility into performance at external production sites. No problem, consider starting with aggregate datapoints and metrics, as it will help you identify continuous improvement initiatives. Start small, there is no immediate need to make it real-time.
  • You responded that your continuous improvement initiatives are not conducted jointly with your suppliers. A good startimng point is to perform a round-table to identify opportunities for improvement. You can then pilot a CIP cycle and assess if it is worth continuing. 
  • You told us that you do not receive (near) real-time production data from your external manufacturer. No problem, you can start small by identifying planned and completed timestamps on important production milestones. You can then select one of your trusted, qualified suppliers with whom to trial the data sharing to assess its value before rolling-out more widely. 
     You told us that you do not collect near-real-time production data from partner facilities. That’s ok, you can start small by identifying planned and completed timestamps on important production milestones and then ask a trusted partner to assess their value.
  • You indicated that roles and responsibilities are not defined for how to (re/pro)act based on data. When data is being shared between groups, it can result in uncertainty or misalignment around who should react to the information. A quick win for you here would be to consider developing a decision tree of scenarios that outlines clear roles and responsibilities for who should do what, when.  You indicated that roles/responsibilities are not clear when reacting to shared data or exceptions. No problem, sharing data can lead to misalignment on who needs to react on it. Consider starting with a decision tree of scenarios with clear roles and responsibilities on who does what when (e.g. RACI or decision matrices).
  • You indicated that your incoterms are not limited or uniform across suppliers delivering for the same brand. It’s good practice to standardize incoterms to make your product flows simpler but we also recommend sharing the documentation with your business excellence teams so they can use it as a blueprint for updating performance management calculations.
  • You indicated that you do not have shared visibility into real-time shipment status and transportation parameters. That’s ok, but you may want to consider piloting a tracking solution to provide real-time visibility into shipment status and conditions. A good place to start could be defining the requirements for the data you would like to see.
     You indicated that you do not have shared visibility into shipment status and transport conditions. All good, consider piloting tracking solutions to provide real-time visibility into shipment status and conditions. Preparatory work may include the requirements of what data you would like to see with key flows. Then you can define visibility requirements and pilot tracking solutions.
  • You responded that delivery exceptions or delays are not automatically communicated to or by your suppliers. We would recommend implementing a digital collaboration tool that uses exception-based alerting. If that’s not possible right now, you can start by registering the reason code for each delay and then incorporating these into your next improvement cycle to help prevent repeat exceptions in the future. 
  • You told us that you do not use a standard data format for logistics data shared with or received from your suppliers. Requests for information may vary in scope and format but the important thing is that such data can always be transformed into a standard format. You should consider implementing uniform data collection and documentation on your side so that you can always start from a position of common understanding when there is a request to share. 
  • You indicated that you do not have a uniform method for sharing or receiving shipping documentation from your suppliers. While we would recommend investing in a cloud-based collaboration tool, a handy interim step can be to set up an external SharePoint page (or similar), through which documentation can be shared to / from partners outside your organization. You should ensure that this approach includes basic version controling. 
  • You indicated that you do not have a supplier categorization model based on common supply chain characteristics (beyond procurement segmentation). Although segmentation gives you an idea on the supplier’s importance in relation to your business, the collaboration process and data requirements may vary. As such, as a quick win, we recommend also grouping suppliers based on similar supply chain characteristics, such as manufacturing stage, number of transactions, and digital maturity. You indicated that you do not categorize suppliers and partners based on network behavior, beyond procurement segmentation. All good, consider creating a collaboration segmentation to guide engagement model and digital onboarding.
  • You indicated that you do not involve suppliers in the digital transformation of your supply chain functions. We suggest identifying one friendly supplier to represent each supplier group, who can give you feedback on your transformation design. Ultimately, your suppliers will need to adopt your design, so it makes sense to incorporate their insights early in the process. You told us that key partners are not actively involved in your supply chain transformation initiatives. Start by inviting a representative from each category to co-design pilots and provide input on platform design.
  • You responded that you do not know who your suppliers’ suppliers are for your brands. A useful first step that allows you to start small is to document the next tier. At a minimum, you should identify the supplier name, their production site locations, and the material group(s) sourced. You told us that you do not have visibility into your multi-tier network. No problem, start small by documenting your next tier: supplier name, production site locations and material group sourced.
  • You told us that you do not have visibility across your multi-tier supplier network on macro risks. Risk-detection across the supplier network is high on the agenda for industry leaders. We strongly recommend that you start by researching how you can identify and resolve your current network blind spots. You responded that you do not track network-wide macro risks for critical raw materials that you don’t own. No problem, risk-detection across your partner network is a growing industry priority. Consider researching the capabilities required to make lighten up your blind spots.
  • You indicated that your internal KPIs are not aligned with your external manufacturers’ KPIs. At a base level, KPIs consist of datapoints, timestamps, calculations, and a review process. We suggest that you start by identifying common ground with your external partners and establish a certain level of aggregation so you can start to build an end-to-end view.  You told us that your KPIs for external manufacturers you are not aligned with your internal KPIs. No problem, KPIs consist of datapoints, timestamps, a calculation and a review process. We suggest that you start by identifying common ground with your external partners and establish a certain level of aggregation so you can start to build an end-to-end view.
  • You indicated that supplier quality metrics are not integrated into your internal QMS. As a first step, we recommned that you identify the external datapoints that can enrich your metric calculations. You can then pilot data collection with a trusted supplier.
  • You indicated that quality issues and non-conformance data are not shared in real-time with your suppliers. That’s ok, we recommend following a 3-step approach to elevate your Quality reporting:

    1. Standardize your non-conformance reporting processes
    2. Identify your requirements list (e.g., real-time reporting and tracking of quality issues, supplier self-service portals to log non-conformance, automated notifications and alerts for stakeholders, escalation mechanisms for critical issues, analytics and reporting dashboards)
    3. Evaluate scalable cloud-based solutions that offer real-time collaboration
  • You responded that you do not have a uniform method for sharing or receiving quality documentation from your suppliers. While we would recommend investing in a cloud-based collaboration tool, a handy interim step can be to set up an external SharePoint page (or similar), through which documentation can be shared to / from partners outside your organization. You should ensure that this approach includes basic version controling. 
     You responded that you do not share quality documentation via structured, digital methods. That’s ok, While we would recommend investing in a cloud-based collaboration tool, a handy interim step can be to set up an external SharePoint page or secure portal in the interim. Long-term goal: standardized EDI or platform-based sharing.
  • You told us that you do not use standard project management tools to jointly manage events. We suggest that you consider using some of your internal project management templates to track progress and status, and publish these to an external SharePoint page (or similar) as an ad interim solution for making the documentation available to partners. 
  • You indicated that you do not have a joint process for tracking and reporting quality KPIs with external partners. A good starting point is to aggregate datapoints and metrics against which you can conduct periodic reviews. This will help you to identify continuous improvement initiatives. 

Valuables resources for you:

supplier network collaboration

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