A Critical Review of Agile Supply Chain Principles and Practices – Term Paper Example

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The paper " A Critical Review of Agile Supply Chain Principles and Practices" is a wonderful example of a term paper on management.   Agile implies an exceptional ability to be nimble. It is the ability of the firms and the partners in the supply chain, to sense the changes in the market place, and react to the same very fast. The agility principle mainly focuses on a nimble organization and the ability to reconfigure the business processes, resources, and systems, in rapid response to the changing competitive environment. Companies that focused on lean principles to have the strategic advantage of cost leadership are rethinking their priorities, some of them facing a dilemma of whether or not, and how of a transition to an agile supply chain. 1.0 The agile supply chains principles Technical superiority and ability to sense the market changes in real-time, and to be able to act in real-time, are some of the demands of the modern agile supply chain.

But today’ s systems are still not rigorously tested and proven, hence they cant be treated as mature. A lot of work needs to be done before they are used and considered proper instruments for agile business systems.

IT plays an important role in ensuring visibility of agility and the benefits to customers and other partners. IT has been making its presence felt in manufacturing, helping mass customization, having an impact on paperless transactions in the upstream supply chain, minimizing the cost of procurement and inventory holding. Enterprise Resource Planning adopted in global businesses, has helped them to be process focused and lean. Technology has been continuously upgraded, helping the industry to cope with the vagaries of customers' demand changes.

The firms have continued to focus on lean operation and got a strategic cost advantage. In spite of the progress in larger companies, the medium and small firms have not become involved In technology up-gradation, and automation of the customer-supplier, interface. These companies have got to participate in overall technology changes, as otherwise, supply chains cant be a homogeneous and smooth system, as some entities will be holding back the progress.    


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