Supply Chains Powered by Best Practices in Energy
Lessons from the power sector can help create a 'best-in-class' supply chain. A self-restoring supply chain will result from an equilibrium in supply and demand. Infosys' expert blogs on the parallels between a pumped storage unit and a supply chain, and cites a best-in-class supply chain that adopts a hub-and-spoke model.
The "hub" location can consolidate demand from different "spoke" locations to reduce supply variation in the supply chain, even while the "spoke" locations have different demand patterns. Such a model results in an efficient distribution network.
Energy Sector and the Supply Chain
Many parallels can be drawn between the energy sector and a supply chain. A supply chain that aspires to be best-in-class has much to learn from the energy sector.
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Power Supply and the Supply Chain - Part 2
The key differences between the balancing forces in the supply chain and power production are in areas such as the bullwhip effect, inventory and cost structure.
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