SupplyChainTalk: Change management in supply chain operations

On 18 September 2024, SupplyChainTalk host Alastair Charatan was joined by Amy Xue, Head of Supply Chain, Dishman Carbogen Amics (Europe) Ltd; Daria Khitsenko, Program Manager Operations, Accell Group; and Pavan Prasad, Senior Director, Consulting, Supply Chain - Pharma & Life Sciences, Genpact. 

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Europe is a huge region for Heineken, where it runs 25 operating companies. In transforming its European supply chain, the company targeted four areas: simplifying the complexity of its product and packaging; leveraging its network of operating companies; improving and harmonising its way of working; and designing low-carbon footprint operations. Thanks to the successful transformation project, Heineken went from having 25 supply and operations planning teams to just one. 

Coordinating and monitoring change  

In the case of projects with flexible deadlines, it’s important to have reviews and adjust the timeline to circumstances. Implementation on a global scale obviously presents more challenges than national and regional ones and planning and execution becomes a more complex task. You also need to align the DT project with other change management initiatives.  

Change must be managed in a supply chains while the business is kept running. In these contexts, setting up a change management office can be helpful. But in cross-functional projects it also makes sense to appoint a contact person from each department that gives updates to the change management officer, who are well-placed and well-equipped to pull resources from across the organisation if needed.

To support change management officers, a Centre of Excellence can focus on process and data ownership while the change is taking place. Digital twins can play a key role in simulating what happens during the transformation, as well as identifying potential bottlenecks. 

Monitoring KPIs and identifying slowing or negative trends can also help prevent project failures. Other modelling and simulation (M&S) tools that can help run scenarios to understand the impact of changes are also available. 

On the people side of change, communication with internal and external stakeholders about the purpose of the change and regular one-on-one and team meetings are key to success not only during but also after the transformation project. 

The panel’s advice 

The importance of scoping and planning digital projects shouldn’t be underestimated. 

Add buffer zones to your planning to keep “planner comfort” high. 

Make sure you never fall victim to analysis paralysis. 

Keep agility in mind when creating a Plan B.