Gartner® Report: Global vs. Regional Supply Chains - Identifying the Right Approach for Your Network
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Global vs. Regional Supply Chains - Identifying the Right Approach for Your Network - Kamala Raman, April 12, 2022. Gartner® is a registered trademark of Gartner®, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.
Per Gartner®, “We are in a new phase of globalization where companies have to reevaluate their priorities and map them to operating structures that span local, hybrid or global models.”
This report is a must-read for any supply chain professionals weighing the cost-efficiency and overall effectiveness of different operational models, ranging from token local investments to fully globally integrated systems. Key insights include:
• The five tried-and-tested operating models that help supply chain executives determine how to best serve target markets
• How to determine how much of operations should be globally standardized vs. regionally focused, and where to allocate resources
• Why and how the vast global supply chains of 2019 are shifting due to geopolitics and a push for greater resiliency
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Key Findings:
"Chief supply chain officers questioning cost-efficiency-focused models must:
- Explore five operating models (ranging from token local investments to a full globally integrated model) to determine the mode of operations possible in their target market while still acting as a single corporation.
- Study the drivers and enablers of globalization to evaluate the role of regional or local elements in their global supply chain networks.
- Test the operating models against the relative importance of each of the enablers to determine the viability of resilient operations in each target market."