Supply Chain Agility Definition
Supply chain agility is the ability to rapidly and efficiently respond to changes in demand. A company with a highly agile supply chain can quickly adapt to changing market conditions, customer preferences, and new product launches. An agile supply chain is also able to respond quickly to disruptions, such as natural disasters or supplier shortages.
In order to be agile, a company’s supply chain must be designed for flexibility. This means that each link in the chain – from suppliers to manufacturers to distributors – must be able to quickly adjust their operations. For example, a flexible supplier can quickly increase or decrease production based on changes in demand. A flexible manufacturer can quickly change its production line to produce a new product. And a flexible distributor can quickly adjust its inventory levels to meet changing customer needs.
An agile supply chain is a critical competitive advantage in today’s ever-changing business environment. Companies that are able to rapidly respond to market changes and customer demands will be better positioned to succeed in the long run.
