- Consulting
- Supply chain strategy
- Value chain strategy
4flow consulting
Redesign of your value chain strategy
Global value networks have changed significantly in recent years. Emerging protectionism of different markets, higher energy costs, tthe increasing quality and reliability of manufacturers in Asia, and limited access to rare raw materials are just some reasons for shifting value networks. Supply chain strategy should shift to reflect these changes.
To ensure a resilient, efficient and sustainable value chain, organizations need a comprehensive understanding of their value network. This includes all influencing factors, both internal and external.
4flow is your partner on the journey to an optimized supply chain strategy. Reduce cost and maximize profitability with a resilient value chain following our proven approach.
4flow's four-step approach to optimizing value networks for resilience and profitability
1. Scoping and strategic premises
- Top-down value chain analysis
- Review of portfolio and definition of scope
- Alignment of strategic cornerstones with stakeholders
- This could include USP, market development, production and supplier footprint, acceptable degree of change, political development, etc.
- Creation of planning database
- Collection, validation and preparation of relevant information for a financial and non-financial scenario evaluation
2. Value chain analysis
- Bottom-up value stream mapping
- Full transparency on as-is value network, deep dives where required
- Qualitative and cost assessment
- Creation of evaluation baseline including extrapolation of current value network setup into a defined target year
- Competitive benchmarking
- Indication of reference KPIs against similar businesses
3. Value chain strategy (scenario-based)
- Product portfolio and value chain segmentation
- Scenario development for future value network
- Strategic development of manufacturing network setup
- Definition of targeted degree of vertical integration
- Make or buy decisions
- Identification of possible transfer of works
- If beneficial: new factory location
- Determination of optimal supplier footprint
- Financial and non-financial evaluation
- Comparison of production footprint and network scenarios and selection of preferred strategies
4. Business case and transformation roadmap
- Cost-benefit analysis for preferred strategies
- Detailed business case evaluation and systematic comparison of intangible benefits and risks
- Development of transformation roadmap
- Integration of required activities, their conditional relationships and milestones in an overall program structure
- Recommendation for action
- Preparation of concise summary of results and moderation of decision process
