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Globalization, Risk and Supply Chain Complexity

Companies face massive and increasing challenges in managing complex global supply chains effectively. As the world shape-shifts, businesses must re-think the way they conduct operations globally, optimizing supply chain performance while managing risk. In other words, managing complexity shapes the success of current and future global operations.

If complexity can be broken down mathematically, John Mariotti, author of “The Complexity Crises” says that a company’s Complexity Factor (CF) might be calculated as follows:

CF = # of SKUs * # of Markets Served * # of Legal Entities in the Company * # of Facilities * (# of Suppliers + # of Customers)/Divided by Sales Revenue

Amid this complexity, one of the great things about the new globally competitive landscape is that it has flattened the world, technologically speaking. But what good is this technology if your company is lacking the experience and deep technical expertise that comes from architecting and designing global supply chains?

How might partnering with a company dedicated to hiring, retaining and training the best and brightest minds in supply chain management position your company to focus on what it does best – develop world-class products that delight customers?

With deep expertise and global partner relationships, Jabil supply chain experts utilize best practices and regional know-how as they partner with some of the world’s most notable brands. Experts in designing, developing and managing robust global supply chains, Jabil specializes in simplifying complexity. One of the most comprehensive examples of how Jabil manages complexity lies with its homegrown business intelligence tools and entrepreneurial engineers who build innovative, sophisticated, business intelligence tools for the entire supply chain. These tools provide real-time, actionable insights to customers and business managers throughout the entire supply chain organization.

And since Jabil Supply Chain practices Lean Six Sigma, lessons learned over time are incorporated into its business intelligence tools. By positioning itself as a learning organization, Jabil passes savings on to customers through increased efficiency, reliability, flexibility and cost. Mastering complexity, Jabil passes simplicity to customers. This is the essence of Jabil’s supply chain vision.

New markets and technologies paved the way for increased opportunity. But with this opportunity comes significant risk. As your company expands to new markets, what’s your most urgent supply chain need? If your company doesn’t specialize in managing complex supply chain issues as it produces and distributes the next great product, how will it manage supply chain complexity issues?

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