The Supply Chain Management Playbook

1
 The Supply Chain Management Playbook

Contents
COPYRIGHT
DEDICATION
CONTENTS
PREFACE
INTRODUCTION
THE SUPPLY CHAIN MANAGEMENT PLAYBOOK
1.0 - SUSTAINABILITY GOALS
2.0 - SUPPLY CHAIN AGILITY GOALS
3.0 - LOCALIZED SUPPLIES GOALS
4.0 - FINANCE AND COMPLIANCE GOALS
5.0 - FLEXIBLE CONTRACTS GOALS
THE ONE PAGE PLANNING PROCESS
ONE PAGE PLAN LINKAGES
SCM - MASTER
1.0 SUSTAINABILITY PLAN
2.0 SUPPLY CHAIN AGILITY PLAN
3.0 LOCALIZED SUPPLIES PLAN
4.0 FINANCE AND COMPLIANCE PLAN
5.0 FLEXIBLE CONTRACTS PLAN
1.0 SUSTAINABILITY
1.0 SUSTAINABILITY LINKAGES
1.0 SUSTAINABILITY PLAN
1.1 SUSTAINABLE SOURCING
1.2 VENDORS PERFORMANCE
1.3 PACKAGING & DELIVERY
1.4 CLIMATE RESILIENCE
1.5 SUSTAINABILITY STRATEGY
2.0 SUPPLY CHAIN AGILITY
2.0 SUPPLY CHAIN AGILITY LINKAGES
2.0 SUPPLY CHAIN AGILITY PLAN
2.1 INVENTORY OPTIMIZATION
2.2 STREAMLINE FULFILMENT
2.3 SUPPLY CHAIN VISIBILITY
2.4 OPERATIONAL EXCELLENCE
2.5 REAL-TIME MONITORING

5
 Ken Martin

Contents
3.0 LOCALIZED SUPPLIES
3.0 LOCALIZED SUPPLIES PLAN LINKAGES
3.0 LOCALIZED SUPPLIES PLAN
3.1 DIVERSIFIED SUPPLIERS
3.2 SINGLE-SOURCING RELIANCE
3.3 RETURN RISK MANAGEMENT
3.4 MULTI-SOURCING STRATEGIES
3.5 SUPPLIER RISK MANAGEMENT
4.0 FINANCE AND COMPLIANCE
4.0 FINANCE AND COMPLIANCE PLAN LINKAGES
4.0 FINANCE AND COMPLIANCE PLAN
4.1 FINANCIAL EFFICIENCY
4.2 AGILE CONTROL INVENTORY
4.3 JUST-IN-TIME INVENTORY
4.4 BACKORDER PLANNING
4.5 FINANCIAL COMPLIANCE
5.0 FLEXIBLE CONTRACTS
5.0 FLEXIBLE CONTRACTS PLAN LINKAGES
5.0 FLEXIBLE CONTRACTS PLAN
5.1 CONTRACT MANAGEMENT
5.2 CONTRACT NEGOTIATION
5.3 SUPPLIER COLLABORATION
5.4 CONTRACT MONITORING
5.5 SCM STRATEGY
ACKNOWLEDGEMENTS
ABOUT THE AUTHOR
3 MAGIC PUBLICATIONS

6
 The Supply Chain Management Playbook

SCM - Master
Sponsor Program Mgr.

Supply Chain Management - Master O. Twist B. Sykes

Completion Date Overall Status

Goal: Optimize end-to-end supply chain performance for sustainable growth and
th
resilience. Achieve an improvement in overall supply chain efficiency, a reduction 15 Feb 2024 Green
in supply chain costs and in carbon footprint, while maintaining 100% compliance.
Key Areas Workstream Outcomes Outcomes

Sustainability Sourcing Vendors Packaging Climate Sustain Strategy Reach a

reduction in the
Implement Align vendor Reduce waste Develop a climate Develop a supply supply chain
sustainable performance to from packing and resilience plan chain strategy for carbon footprint
sourcing sustainability product returns sustainability

1.0 J. Smith 1.1 100 G 1.2 100 G 1.3 100 G 1.4 100 G 1.5 100 G Status Green

Supply chain Inventory Fulfilment SCM Visibility Opex Monitoring Embrace agile
agility supply chain
Optimize Streamline order Enhance supply Enhance Opex & Implement real- principles
inventory turnover fulfilment and chain visibility process time agility
& responsiveness responsiveness optimization monitoring

2.0 L. Baine 2.1 100 G 2.2 100 G 2.3 100 G 2.4 100 G 2.5 100 G Status Green

Localized Diversified Single Source Return Risks Mult-Source SCM Risks Transition
supplies towards
Continuously Reduce reliance Perform risk Evaluate the Enhance supplier diversified
monitor supplier on single-source mitigation for feasibility of multi- risk management sourcing
diversification strategies returns sources strategies for geopolitical

3.0 3.1. 3.2 3.3 3.4 3.5

Finance and Efficiency Agile Control Just-In-Time Backorder Plan Compliance Improve
compliance inventory
Ensure financial Apply dynamic Refine just-in-time Develop a Implement real- management
efficiency returns inventory mgt. for inventory for backorder plan for time compliance
management agile control critical items inventory flexibility monitoring

4.0 P. Giles 4.1 100 G 4.2 100 G 4.3 100 G 4.4 100 G 4.5 100 G Status Green

Flexible Contract Mgt. Negotiation Collaboration Monitoring SCM Strategy Implement

contracts flexible contracts
Modernize Reduce contract Promote Implement real- Achieve an
contract negotiation and collaboration for time contract overarching SCM
management approvals flexible contracts monitoring strategy

5.0 B. Bass 5.1 100 G 5.2 100 G 5.3 100 G 5.4 100 G 5.5 100 G Status Green

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

19
 Ken Martin

1.0 Sustainability Plan

SCM: 1.0 Sustainability Program Mgr. Project Mgr.

B. Sykes L. Baines
Goal: Reach a reduction in the supply chain carbon footprint
Completion Date Overall Status
th
15 Feb 2024 Green

Sustainable Sourcing Suppliers Guidelines Training Monitoring Implement

sourcing sustainable
Evaluate current Engage with Create clear Supplier training Establish a sourcing and
sourcing practices existing and guidelines and and capacity system for reduce emissions
potential suppliers criteria building monitoring

1.1 1.11 100 G 1.12 100 G 1.13 100 G 1.14 100 G 1.15 100 G Status Green

Vendors Evaluation Collaboration Guidelines Training Monitoring Align vendor

performance performance to
Conduct a Engage suppliers Create a set of Train suppliers on Conduct vendor sustainability
strategic in sustainability guidelines for sustainability sustainability
evaluation initiatives sustainability reporting

1.2 1.21 100 G 1.22 100 G 1.23 100 G 1.24 100 G 1.25 100 G Status Green

Packaging and Assessment Collaboration Processes Waste Improvement Implement

delivery sustainable
Conduct an Collaborate with Evaluate and Develop Establish a culture packaging
assessment of suppliers for optimize delivery strategies to of improvement
packaging impact packaging processes reduce waste

1.3 1.31 100 G 1.32 100 G 1.33 100 G 1.34 100 G 1.35 100 G Status Green

Climate Assessment Strategy Collaboration Testing Improvement Develop a climate

resilience resilience plan
Identify climate- Create a climate Involve cross- Simulate weather Regularly review
related risks resilience plan functional teams scenarios and the resilience plan
to develop plans test plan

1.4 1.41 100 G 1.42 100 G 1.43 100 G 1.44 100 G 1.45 100 G Status Green

Sustainable Compliance Emissions Metrics Stakeholder Improvement Develop a supply

strategy chain strategy for
Ensure Include vendor Develop Engage stake- Foster a culture of sustainability
compliance with emissions data in performance holders in the continuous
regulations reviews metrics sustainability plan improvement

1.5 1.51 100 G 1.52 100 G 1.53 100 G 1.54 100 G 1.55 100 G Status Green

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

20
 The Supply Chain Management Playbook

2.0 Supply Chain Agility Plan

SCM: 2.0 Supply Chain Agility Program Mgr. Project Mgr.

B. Sykes L. Baines
Goal: Embrace agile supply chain principles to respond effectively to market
changes. Completion Date Overall Status
th
15 Feb 2024 Green

Inventory Analysis Tools Safety Stock Collaboration Monitoring Optimize

optimisation inventory
Conduct a Implement Review and Collaborate Regularly monitor turnover &
detailed inventory demand sensing optimize safety closely with key inventory turnover responsiveness
analysis tools stock levels suppliers rates

2.1 2.11 100 G 2.12 100 G 2.13 100 G 2.14 100 G 2.15 100 G Status Green

Streamline Process Automation Tracking Collaboration Metrics Streamline order

fulfilment fulfilment and
Conduct a review Introduce Implement real- Foster Establish key responsiveness
of the fulfilment automation in time order collaboration performance
process order processing tracking inter-departments indicators

2.2 2.21 100 G 2.22 100 G 2.23 100 G 2.24 100 G 2.25 100 G Status Green

Supply chain Integration Analytics Mapping Collaboration Training Enhance supply

visibility chain visibility
Invest in IoT, Utilize data Create a detailed Collaborate with Train supply chain
RFID, and analytics map of the supply logistics partners staff
tracking systems chain

2.3 2.31 100 G 2.32 100 G 2.33 100 G 2.34 100 G 2.35 100 G Status Green

Operational Cost Analysis Mapping Optimisation Automation Improvement Enhance

excellence operational
Conduct a Map out existing Optimize the Identify key Foster a culture of excellence
thorough analysis processes to supply chain with processes for continuous
of existing costs identify issues improved logistics automation improvement

2.4 2.41 100 G 2.42 100 G 2.43 100 G 2.44 100 G 2.45 100 G Status Green

Real-time Monitoring Data Forecasting Collaboration Analysis Implement real-

monitoring time agility
Implement Ensure demand Implement Involve sales in Analyse historical monitoring
systems to track forecasting models for market the forecasting demand for
metrics accuracy data conditions process forecasting

2.5 2.51 100 2.5 2.52 100 G 2.53 100 G 2.54 100 G 2.55 100 G Status Green

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

21
 Ken Martin

3.0 Localized Supplies Plan

SCM: 3.0 Localized Supplies Program Mgr. Project Mgr.

B. Sykes L. Baines
Goals: Transition to diversified sourcing to reduce geopolitical risks.
Completion Date Overall Status
th
15 Feb 2024 Green

Diversified Risks Alternatives Collaboration Qualification Roadmap Diversify

suppliers suppliers to
Conduct an Identify Have discussions Develop process Create a roadmap mitigate supply
assessment of alternative with existing for alternative for new suppliers chain exposures
current suppliers suppliers suppliers suppliers

3.1 3.11 100 G 3.12 100 G 3.13 100 G 3.14 100 G 3.15 100 G Status Green

Single source Mitigation Diversification Negotiations Inventory Contingency Reduce reliance

reliance on single-source
Perform a single- Develop regional Negotiate with Buffer inventory Develop strategies
source risk diversification existing suppliers against transition contingency plans
analysis plan risks for new issues

3.2 3.21 100 G 3.22 100 G 3.23 100 G 3.24 100 G 3.25 100 G Status Green

Return risk Quality Processes Analysis Collaboration Monitoring Explore

management onshoring
Assess the quality Implement Conduct regular Collaborate with Continuously diversify the
management guidelines for analyses to suppliers for high monitor supplier supply chain
system handling returns minimize costs quality products performance

3.3 3.31 100 G 3.32 100 G 3.33 100 G 3.34 100 G 3.35 100 G Status Green

Multi-sourcing Analysis Selection Risks Pilots Monitoring Evaluate the

strategies feasibility of multi-
Analyse the Develop selection Identify and Implement small- Monitor the sources
benefits and risks criteria for new assess multi- scale multi- performance of strategies
of multi-sourcing suppliers sourcing risks sourcing projects multiple suppliers

3.4 3.41 100 G 3.42 100 G 3.43 100 G 3.44 G 3.45 100 G Status Green

Supplier risk Assessment Profiling Contingency Diversification Monitoring Enhance supplier

management risk management
Conduct Develop detailed Create robust Develop plans for Implement real- for geopolitical
assessments of profiles for each contingency plans supplier base time monitoring
geopolitical risks supplier diversification systems

3.5 3.51 100 G 3.52 100 G 3.53 100 G 3.54 100 G 3.55 100 G Status Green

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

22
 The Supply Chain Management Playbook

4.0 Finance and Compliance Plan

SCM: 4.0 Finance and Compliance Program Mgr. Project Mgr.

B. Sykes L. Baines
Goal: Improve inventory & adapt to economic and market fears.
Completion Date Overall Status
th
15 Feb 2024 Green

Financial Assessment Risks Reserves Monitoring Collaboration Optimize financial

efficiency management of
Increase Implement risk Utilize data-driven Regularly monitor Involve functional product returns.
inventory analysis for reserves market conditions teams in decision-
assessments inventory making

4.1 4.11 100 G 4.12 100 4.1 4.11 100 G 4.12 100 4.1 4.11 100 Green

Agile control Assessment Forecasting Automation Orders Visibility Apply dynamic

inventory inventory mgt. for
Asses the existing Implement Integrate Implement order Establish real- agile control
inventory mgt. dynamic demand automation and quantity time monitoring
systems forecasting AI technologies optimization systems

4.2 4.21 100 G 4.22 100 4.2 4.21 100 G 4.22 100 4.2 4.21 100 Green

Just-in-time Segmentation Safety Stock Collaboration Scenarios Improvement Refine just-in-

inventory time inventory for
Assess the Utilize data Identify suppliers Do assessments Implement critical items
inventory for analytics for based on their to identify performance
critical items safety stock importance disruptions reviews

4.3 4.31 100 G 4.32 100 4.3 4.31 100 G 4.32 100 4.3 4.31 100 Green

Backorder Policies Prioritisation Comms Suppliers Metrics Develop a

planning backorder plan
Create clear Create criteria for Implement Collaborate with Define KPIs to for for inventory
backorder prioritizing comms strategies suppliers for backorder flexibility
policies. backorders for customers timely fulfilment planning

4.4 4.41 100 G 4.42 100 4.4 4.41 100 G 4.42 100 4.4 4.41 100 Green

Financial Monitoring Integration Alerts Analysis Responses Implement real-

compliance time financial
Establish a Integrate of real- Setup automated Conduct ongoing Develop a compliance
monitoring time systems alerts data analysis protocol for monitoring
framework response

4.5 4.51 100 G 4.52 100 4.5 4.51 100 G 4.52 100 4.5 4.51 100 Green

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

23
 Ken Martin

5.0 Flexible Contracts Plan

SCM: 5.0 Flexible Contracts Program Mgr. Project Mgr.

B. Sykes L. Baines
Goal: Implement flexible contracts and digital supply chain techniques for agility.
Completion Date Overall Status
th
15 Feb 2024 Green

Contract AI Solutions Processes Communication Monitoring Data Modernize

management contract
Utilize AI-powered Utilize AI tools to Provide a central Enable real-time Use contract data management
contract mgt. streamline platform for monitoring of for performance
solutions processes communication performance analysis

5.1 5.11 100 G 5.12 100 5.1 5.11 100 G 5.12 100 5.1 5.11 100 G

Contract Processes Integration Collaboration Approvals Monitoring Reduce contract

negotiation negotiation and
Evaluate each Use AI contract Implement Establish agile Institute a system approval times
stage of the management collaborative approval methods for continuous
lifecycle solutions platforms monitoring

5.2 5.21 100 G 5.22 100 5.2 5.21 100 G 5.22 100 5.2 5.21 100 G

Supplier Collaboration Guidelines Relationships Agile Technology Promote

collaboration collaboration for
Foster a culture of Establish clear Invest in Design an agile Implement flexible contract
collaboration contractual relationship contractual collaborative adjustments
guidelines development framework technologies

5.3 5.31 100 G 5.32 100 5.3 5.31 100 G 5.32 100 5.3 5.31 100 G

Contract Deployment Evaluation Detection Analysis Responses Enhance contract

monitoring data analysis
Deploy advanced Create rules for Develop rapid Perform data- Implement
monitoring evaluation of deviation driven analysis immediate
systems contracts detection for returns mgt. response tools

5.4 5.41 100 G 5.42 100 5.4 5.41 100 G 5.42 100 5.4 5.41 100 G

SCM strategy Assessment Objectives Collaboration Integration Risks Achieve an

overarching SCM
Conduct a Define clear Foster Evaluate and Develop a robust strategy
thorough supply business collaboration enhance the tech risk management
chain assessment objectives across the firm infrastructure framework.

5.5 5.51 100 G 5.52 100 5.5 5.51 100 G 5.52 100 5.5 5.51 100 G

Status Labels Workstream No. % complete Missed milestone, all status red, Going to miss milestone, status orange, All milestones met = Green

24
 The Supply Chain Management Playbook

About the Author

Ken Martin

After an extensive successful career
working for some of the best organisations
in the world in various countries, I was
disheartened to see how many times
programs and projects failed from not
paying heed to lessons learned and best
practices. Even today, how many current
programs are being executed without
proper assessment, planning or
organisational change management.
And then organisations are surprised why
so many of the programs and projects fail to
deliver any business benefits. So I decided
to author and to create several Best
Practice Books based on my 𝐎𝐧𝐞 𝐏𝐚𝐠𝐞
𝐌𝐚𝐠𝐢𝐜™ format on topics such as PMO,
Project Management & Business
Transformation for leaders to learn from
other's experience for project success.

239
 Ken Martin

3 Magic Publications

240