Since the Spring Festival, people in the supply chain have often referred to the JD Y Division, and under the Y Division, they have established the “Global Supply Chain Innovation Center†and invited Sauford University Hau L. Lee (Li Xiaoliang) to chair the expert committee. It feels like JD.com is trying to make a big move in the supply chain.
Li Xiaoliang is a leader in global supply chain experts
I entered the supply chain management field in 2003, and Professor Li was already a very famous expert in that era. The papers proposed in the 3A supply chain have a great impact on the industry. In particular, agile supply chain affects a large number of supply chain companies. For example, i2 once launched the development platform ABPP (Agile Business Process Platform) in 2006, named after agile.
The 3A supply chain means that the supply chain must be Agile, Adaptable, and Aligned. The three letters Agile, Adaptable, and Aligned all start with A, so they are called 3A supply chains.
Agility goal: To respond quickly to changes in supply and demand in the short term and to handle external disturbances satisfactorily.
Agility method:
Strengthen communication with suppliers and customers;
Develop cooperation with suppliers;
Design for delay strategies
Keep an inventory buffer by keeping inventory of cheap core components;
Have a reliable logistics system or partner;
Formulate emergency plans and establish a crisis management team.
The goal of adaptability: to deal with the structural changes in the market by adjusting the design of the supply chain; to adjust the supply chain network according to strategy, products and technologies.
Adaptive approach:
Monitor the global economic development, explore new supply chain bases and new markets;
Using intermediaries to develop new supply and that and logistics infrastructure;
Evaluate the needs of end-customers, not just the needs of direct customers;
Establish flexible product design;
Through the product technology cycle and life cycle two indicators to determine the positioning of the product.
Collaborative goals: Identify goals that can lead to better benefits.
Collaborative approach:
Freely exchange information and knowledge with suppliers and customers;
Identify clear roles, tasks and responsibilities with suppliers and customers;
Share risks and costs fairly and share the benefits of improvements.
3A Supply Chain Restrictions
The reputation of the 3A supply chain is very large, but the agile supply chain is the easiest thing to remember so far, and for the Adaptable and Aligned, there are only a few mentions in practice.
The 3A supply chain is more described by the characteristics of a successful supply chain: agility, adaptability, and collaboration.
However, judging from the characteristics of agility, adaptability and collaboration, agility is inclusive of adaptability and synergy. Applying adaptive, collaborative approaches will increase supply chain agility.
Therefore, the three characteristics of the 3A supply chain are not parallel relations, but agility includes adaptability and collaboration. Therefore, the agile supply chain in the 3A supply chain has a very wide impact, but the other two features are often forgotten.
The value of 3A supply chain lies in revealing that the traditional supply chain system's method of improving efficiency (reducing costs through economies of scale) does not help companies succeed, and the new supply chain system's 3A supply chain model can help companies continue to succeed.
However, this view was not first proposed by Prof. Li, and the book “Target†revealed this reason earlier and put forward the theory of TOC. This theory not only has goals, but also methods.
The 3A supply chain still lacks specific implementation methods.
The 3A supply chain approach is a more general approach.
In particular, Aligned's formulation, the term Collaboration is used more in the circle.
The concept of 3A supply chain has been proposed for more than a decade, and agile supply chain is very popular.
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