PROBLEMS


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While there are many benefits that come from attaining a Supply Chain Management Program, there are also many drawbacks and problems that may arise.

  

Potential Drawbacks

  • Resistance from vendors who are hesitant about the initial costs necessary to implement the program.
  • Resistance from employees because of lack of knowledge of learning a new system and leaving the old system they are accustomed to.

 Potential Problems

  • Unanticipated Costs due to poor planning and organizing
  • Confusion due to poor communication
  • Barriers of departments and companies

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Solutions to Drawbacks and Problems

  • Clear and specific direction from management
  • Advising Vendors on potential profit that could be made from implementing the program
  • Employees must have faith in the system, their company, and themselves
  • Discussing solutions to potential problems before they arise