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Strategic fit
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Vrije Universiteit Amsterdam
STEP 3: ACHIEVING STRATEGIC FIT
Efficient Responsive
Primary goal Lowest cost Quick response
Lead time strategy Reduce but not at expense of Aggressively reduce even if
greater cost costs are significant
Supplier selection strategy Low cost, sufficient quality Speed, flexibility, quality
Competitive Strategy
Efficiency Responsiveness
Supply chain structure
Logistical Drivers
Cross-Functional Drivers
Storage
Location:
o Centralize vs Decentralize
o Macroeconomic factors: workers, infrastructure, tax, etc.
Capacity
Source: dailymail.co.uk
Inventory: cross-docking
Transportation: own fleet
Facilities: centralized DCs
Information: large IT investment
Sourcing: large orders
Pricing: EDLP
THANK YOU!