ABSTRACT
In this chapter, we look at what it means to have supply chain strategies that are demand driven and customer focused. A demand-driven, customer-focused supply chain strategy is a supply chain management method that focuses on building supply chains in response to demand signals. Demand signals pull goods and services through the supply chain from suppliers. Suppliers respond to demand signals by aligning resources in the total supply chain to deliver goods and services to customers. In order to have a customer-driven strategy, it is important to share data in an open environment, which in turn allows organizations to mutually solve supply chain challenges. We identify and discuss the differences between manufacturing and service industries and implications for demand driven, customer focused supply chain strategies. Understand service dominant logic, the difference between operand and operant resources and implications for creating service systems supply chains. Recognising that different supply chain strategies are applied to manufacturing and service businesses. The approach is lean and agile optimising supply chain performance by reducing cost, lowering average inventory holding, avoiding waste in the system and providing service to customers by focusing on their requirements. We examine tools and techniques that have been developed to support responsive, agile and resilient demand driven, customer focused supply chain strategies. And explain why and how strategic thinking supports the development of demand driven, customer focused supply chain strategies.
