FOCUS

SOFT is the NEW STRENGTH

“Be hard on the Issue, soft on the Person” sums up the right approach managements all over should take at the workplace. Most of the time we strive to hone our hard skills, be it the functional, technical, or data-centric or any other aspect that we think can give us tangible, measurable, and quick returns. What most of us fail to understand and practice is that people give results, sure with help of a variety of functional skills but what drives them to learn and deliver effectively is in the realm of what we call the soft skills, deciphers JVB Sastry, Consultant – Supply Chains & Sales Management.

JVB Sastry is ex Senior Vice President – National Category Management, ACC & Ambuja Cement. He possesses over 30 years’ experience in sales, marketing, logistics and procurement in the cement & fertilizer industries. Currently he is an independent consultant based out of Pune.

BUSINESS like life is all about relationships within and outside organizations – be it with customers, suppliers, peers or team members or bosses or anyone who might be a cog in the wheel…each one contributes his or her own, in keeping the wheel moving.

Supply chain is all about managing the relationships both within and outside one’s own organization, mitigating business risks, demand, and supply volatility, managing functional siloed thinking and attitudes, external and internal business pressures, meeting customers spoken and unspoken expectations, managing suppliers demands or frustrations, change management dynamics and many other such situations.

Procurement and logistics support production and sales functions in volumes and cost to make and serve and impact the top line and bottom line of a firm. Consequently, supply chain makes a very significant impact on a business and its results. This all-encompassing nature of its function would require close and effective coordination from supply chain managers and buy-in from other functions, suppliers, and customers. However, each segment of this influencer/ operational group have their own goals, values, and motivations, often resulting in conflicts. Supply chain function has both the unique opportunity and responsibility to synthesize the divergent outlooks and expectations of all these functions, groups and individuals and achieve a near optimum outcome and profits for the company.

To illustrate the above a little more, my professional experience showed the following:

 Manufacturing wants to maximize capacity utilization and reduce production cost, irrespective of the demand volatility and raw material supply cycles. Yes, a laudable objective, but this requires a collaborative working with sales and procurement and finding an innovative and smart solution. However, often we see conflicts and blame game at each other’s functions.  Similarly, marketing and sales expect best in class service delivery to

every customer, often overlooking its business impact, cost-value analysis, and the fact that “one size fits all” approach in service levels is not a good idea. A more calibrated approach based on segment- wise needs and cost/benefit would help a firm optimize its service levels and maximize service to a more long-term and profitable market/ customer segment. This can be achieved, only if there is a matured & informed engagement between supply chain and sales rather than cross-functional fights.  Customers demand variety of customized product or services but at the cost of standardized product or services.  Suppliers want long term commitments but insulation from supply disruptions.

Sure, there are clear solution frameworks/processes to handle situations as above and their likes. For example, manufacturing can collaborate with supply chain and plan production to meet demand and manage optimum