Topic > Special case - 539

The company organizational structure influences the level of integration of the three main components of the supply chain: CRM (Consumer), ISCM (Enterprise) and SRM (Supplier) The main barriers to integration are: mentality silos, lack of visibility, lack of trust, lack of knowledge and bullwhip effects (Chopra & Meindl, 2007). Solution barrier (1) Solution (2) Silo mentality Lack of trust Reported as the #1 barrier to integrating with a complex solution (IBM, 2009). GE-Work-Out solution to increase communication between all participants in the supply chain. The UK Government increases quality dialogue between the public and private sectors. The silo mentality barrier is the inability to find a win-win solution because managers focus on budgets without considering the impact on other budget departments. This barrier follows the principle: I win, you lose. Lack of trust is the inability to share data which, if known by all participants in the supply chain, can increase benefits but at the cost of revealing confidential data and strategies (Chopra & Meindl, 2007). Former GE CEO Jack Wells, realizing the importance of communication in the early 1990s, created the GE-Work-Out technique. Implemented by Gannon Associates, GE Senior Managers organize meetings with customers, business partners, suppliers and customers following a communication process that reinforces the focus on win-win solutions. By mixing teams with different skills, cross-functional problems within the supply chain were analyzed by problem solving teams following an agenda meeting strategy. The excellent results of this technique have made GE-Work-Out an efficient communication technique for finding efficient solutions (Gannon, 1996). GE-Work-Out transcends ranks, functions, geography, bureaucracy...... middle of paper ......and from: http://thinkgagnonassociates.com/core-capabilities/ge-work-out (Accessed : November 28, 2011).IBM. (2009) The smarter supply chain of the future [online]. Available from: http://www-935.ibm.com/services/uk/gbs/pdf/gbe03167-usen-02.pdf (accessed November 28, 2011). IBM-1. (2009) Overcoming Barriers to Supply Chain Performance [Online]. Available from: http://public.dhe.ibm.com/software/data/sw-library/cognos/pdfs/whitepapers/wp_overcoming_barriers_to_supply_chain_perf.pdf (accessed November 28, 2013). Lawrence, R., Hanauz, M. D., & Doherty , S. (2012). The Global Enabling Trade Report 2012: Reducing Supply Chain Barriers [Online]. Available from: http://www3.weforum.org/docs/GETR/2012/GlobalEnablingTrade_Report.pdf (accessed: 28 November 2011). Nestlé. (2013) Nestlé News [online]. Available from: http://www.sas.com/success/nestle.html (Accessed: 28 November 2013).