- SAP Managed Tags
If your daily logistics operations are heavily reliant on phone calls, emails, spreadsheets, and folders full of paper, you're likely operating at what the Supply Chain Logistics Maturity Model characterizes as Level 1, the "Manual" stage. At this stage, strategic planning is minimal, and tactical transacting and reacting to issues consume most of your effort. Collaboration with carriers and partners is typically limited to one-to-one communication methods, making real-time visibility a significant challenge.
Please read on to see how the prior post describing the purpose and framework for the maturity model specifically applies to companies at Level 1.
According to industry surveys, a substantial portion of companies still rely on manual communication methods. At Level 1, these characteristics are prevalent:
- Primary reliance on phone, email, and spreadsheets.
- Little logistics integration with related fulfillment processes.
- Reactive with minimal strategic planning or advanced optimization.
For companies at this level, the Supply Chain Logistics Maturity Model is particularly valuable. It helps you explicitly see where you stand and highlights the low-hanging fruit for improvement. Identifying manual processes, areas with excessive paper handling, or moments where data is being re-typed from one system to another are clear indicators of areas needing attention.
The primary focus for improvement at Level 1 is gaining efficiency. But where and how do you start? The model points towards digitalization and automation as key first steps. This isn't about finding a "perfect solution" right away; it's about starting with specific areas where you can quickly drive value. By digitalizing basic transportation processes like booking and tendering, or gaining some initial visibility beyond external portals, you lay the crucial groundwork needed to move up the maturity curve. Leveraging the model helps you pinpoint which manual processes to tackle first to gain that initial, much-needed efficiency.
Stay tuned for the next post, where we'll explore how companies at Level 2 have built a foundation for greater efficiency, and begin to leverage visibility to become more proactive . (prior post in this series)
More in-depth reading:
Decoding Supply Chain Logistics: Four Strategies to Mature Your Logistics Operations
Insights to Action eBook: Chart your path to logistics excellence
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