Supply chain management at an inflection point: A final perspective

In differential calculus, an inflection point on a continuous plane curve is where the curve changes from being concave to convex or vice versa. When applied to business, a point of inflection denotes a period of significant change. It is a period in which past practice, perspectives and frameworks are no longer as attractive or relevant. In reviewing the various chapters of this book, it should be obvious to the reader that supply chain management is at an inflection point.

In this summary chapter, the authors explore how the developments discussed in this book apply to supply chain management practitioners and researchers. To do so, the themes discussed either directly or indirectly in the preceding chapters of this book are a focus. Central to this discussion are the following two questions:

What changes are taking place in the supply chain due to the factors discussed in this book?

How will these changes affect the theory and practice of supply chain management?

To address these two questions, this chapter is organised as follows. In the first section, the authors examine the changes now taking place in supply chain management. The key message in this section is that there is a fundamental transformation in suppliers from being cost-driven and tactical to being value-driven and strategic. This section will also identify the four critical traits of this new supply chain. The second section will examine the impact of the new supply chain for practitioners. The message is simple – a new type of supply chain demands a new class of supply chain manager. The third and final section will conclude this chapter by returning to the theme of supply chain management at the point of inflection.