{"id":45114,"date":"2017-06-21T02:48:00","date_gmt":"2017-06-21T02:48:00","guid":{"rendered":"http:\/\/sticky-highjinx.flywheelsites.com\/?p=45114"},"modified":"2025-04-09T08:33:15","modified_gmt":"2025-04-09T12:33:15","slug":"diagnose-supply-chain-challenges-with-an-operational-assessment","status":"publish","type":"post","link":"https:\/\/envistacorp.com\/en-au\/2017\/06\/21\/diagnose-supply-chain-challenges-with-an-operational-assessment\/","title":{"rendered":"Diagnose Your Supply Chain Challenges with An Operational Assessment"},"content":{"rendered":"Reading Time: <\/span> 2<\/span> minutes<\/span><\/span>\n

Business leaders are constantly facing operational challenges and striving for improvements within their supply chain. In a recent Supply Chain Digest survey, reducing supply chain costs was identified as the top priority for 57 percent of executives. One of the ways this can be accomplished is by eliminating operational inefficiencies from the supply chain. However, this becomes a difficult undertaking because the underlying causes of operational inefficiencies are often difficult to identify and require significant time, effort, and resources. Whether the issue is known or not, an operational assessment is an effective tool to ensure supply chain improvement initiatives are addressing the root issue \u2013 rather than its symptoms.<\/p>\n\n\n\n

An operational assessment is an evaluation of the day-to-day operations within a specific area of a company\u2019s supply chain, such as warehousing or transportation processes. The key objectives of an operational assessment are to recognize and correct operational inefficiencies, as well as provide solutions that enhance future profit margin. When maximizing profit, it is important to remember that a 10 percent decrease in bottom-line costs boosts profit significantly more than a top-line 10 percent increase in revenue \u2013 it is paramount that cost-centers like warehouses are operating efficiently. An operational assessment will typically include an onsite interview of key stakeholders to identify key pain points as well as a Lean process analysis which helps identify \u201clow-hanging fruit\u201d that will produce quick wins.<\/p>\n\n\n\n

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Operational assessments take time and resources to execute effectively \u2013 underscoring the importance of performing an operational assessment only when it adds value. There are several reasons why a firm may utilize an operational assessment:<\/p>\n\n\n\n