HENKEL
Rechanneling data : from inside-out to outside-in Kirchner discussed the difference between the inside-out and outside-in approach to supply chains , and where Henkel stands on this .
Kirchner says : “ As the term ‘ supply chain ’ indicates , it is , in essence , a chain of events . We can visualise this as two opposing streams . The first consists of the material flow , which exists from the procuring of raw materials , to producing intermediaries , on to finished goods , and finally out to delivering those goods to customers .
“ Then there is the information flow – and this streams in the opposite direction , from the demand of the customer , on to production and procurement .”
The traditional inside-out approach is where a company accesses the information it has inside of its company , and constructs its reality around that . Kircher expresses that as a company matures in the supply chain , they enhance their perception of their needs , and this is where digital capabilities come into play . “ You begin to understand that you need to extend your visibility to the data you receive on both ends of your value chain .” Kirchner says : “ In contrast , the outside-in approach acknowledges that a company is part of a much larger value stream that includes suppliers , distributors , customers and consumers .
“ By taking these perspectives into account , we are able to make decisions that are better aligned with the overall value stream . Henkel believes in the outside-in approach , taking in the views and the voices of the customer , as well as data points from outside the company , to design and improve its supply chain performance towards customers .”
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