Nestlé Supply Chain Strategy, Essay Example

The most critical drivers in supply chain strategy in Nestlé entail the facilities, information, inventory as well as transportation. They are responsible for the determination of the entire organizations responsiveness and competitiveness. All these drivers must work in collaboration so that organization efficiency can be achieved leading to stability and avoidance of threatening risk.

Risks are the number one killers of business at Nestlé. Lack of a clear understanding of the competitive dynamics as well as the market is the most sensitive area that is associated with business risk. The market dynamics may change while the teamwork responsible for anticipation was asleep. With increase in exponential complexity and interrelationship within the organization, business strategy must be able to address crucial enterprise issues including the resilience of the business and the supply chain. The link between the two can hardly be identified through an impact associated with business disruption (Drew & Thomas, 2007).

The supply chain resources ownership as well as management facilitates that, identifiable resources are able to control the large share in the value flow as compared to any other resource. A clear knowledge of such an issue translates to the commencement of a mapping process involving power properties that are allied to the supply chain as well as the value chains. Reconceived, redefining and cluster development play a crucial role in the creation of new opportunities for the business  (Weber, 2007). They help in the identification of the best methods  possible that facilitate in the retention of power over other competing suppliers which is a significantly crucial business aspect because it results to having ability of achieving entirety control and facilitates in avoidance of dependency or over-reliance on the companies that outsourced the resources.

Works cited

Drew, S. & Thomas, C., “Transformation through team work” The path to the new organization, Team performance management, International Journal of Logistics Management, 2007.

Weber, M. Towards sustainable entrepreneurship: a value creating perspective on corporate societal strategies. Discussion paper, Centre for Sustainability, 2007.