From Cost Centres to Growth Engines: Transforming Supply Chains into Strategic Revenue Drivers

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From Cost Centres to Growth Engines: Transforming Supply Chains into Strategic Revenue Drivers

Supply chains have long been seen as operational necessities, focused primarily on efficiency, cost reduction, and fulfilment. However, in today’s rapidly evolving business landscape, this traditional perspective is no longer enough. Forward-thinking companies are now redefining supply chains as powerful engines of revenue growth, customer satisfaction, and competitive differentiation. Rather than merely supporting business functions, modern supply chains are becoming key drivers of profitability and market expansion.

By prioritizing customer-centricity, leveraging advanced technologies, and embracing sustainability, businesses are unlocking new opportunities to generate revenue while enhancing operational resilience. This transformation requires a shift in mindset—moving beyond the idea of supply chains as cost saving mechanisms to recognizing them as strategic assets that fuel long-term business success. This Cover Story explores how companies are transforming their supply chains into strategic assets, leveraging innovation, sustainability, and collaboration to drive long-term business growth.

In today’s competitive business environment, supply chains are no longer viewed merely as operational functions focused on cost control and efficiency. Instead, they have emerged as powerful strategic levers that influence a company’s ability to generate revenue, enhance customer satisfaction, and achieve long-term growth. Forward-thinking organizations are now embedding supply chain strategy at the heart of their business models, recognizing its pivotal role in driving agility, market responsiveness, and brand differentiation.

Companies like Amazon and Zara exemplify this shift. Amazon’s customer-centric supply chain model—with its expansive fulfilment network and sophisticated logistics—has set new standards in delivery speed and reliability. This operational excellence is not just about efficiency; it’s a strategic asset that directly fuels customer loyalty and repeat business. Similarly, Zara’s vertically integrated supply chain enables the brand to move from design to store shelves in a matter of weeks. This agility allows Zara to stay ahead of fashion trends and consumer preferences, driving both customer satisfaction and sales.

At the core of this transformation is the idea that a well-aligned supply chain can be a catalyst for growth. By integrating supply chain operations with strategic business goals, companies are able to respond more quickly to market changes, optimize product availability, and streamline decision-making. This alignment enhances coordination across functions such as marketing, procurement, and sales, leading to more informed planning and execution. Resilience, too, is a key component. In an era marked by volatility—from pandemics to geopolitical disruptions—businesses that build resilient, flexible supply chains are better equipped to maintain service levels, protect margins, and seize emerging opportunities. Flexibility in sourcing, real-time inventory management, and agile distribution models are no longer optional—they are competitive necessities.

Our experts offer their valued insights on how companies can unlock this strategic potential. Their perspectives—rooted in industry experience and forward-looking analysis—are featured in an exclusive Q&A format designed to guide business leaders in leveraging their supply chains as engines of innovation and growth. From enhancing responsiveness to building structural resilience, these insights help chart a clear trajectory toward sustained performance and competitive advantage. As industries continue to evolve, it’s the organizations that treat supply chains as dynamic, revenue-generating assets—not just cost centres—that will lead the way in shaping the future of business.

How is the supply chain contributing to your company’s growth in the current market?

Dharmesh Srivastava, Vice President – Supply Chain, Sundrop Brands Ltd.: We are witnessing major growth for the quick commerce business. Modern consumers prefer convenience—they want products delivered to their doorstep almost instantly. This shift has accelerated dramatically over the past year and a half, with multiple quick commerce platforms emerging and driving demand.

Traditionally, we relied on general trade (GT), which was growing at a steady pace. Over time, we optimized that supply chain for efficiency. However, with the rise of quick commerce, we see some new consumers getting added through new quick commerce platform and some shift in Channel sales. Consumer behavior and product preferences are also evolving.

We see that Quick commerce customers try and adapt to new flavours and packs much easier due to visibility of packs on Apps. We’re noticing a surge in demand for certain flavors and products that were previously slow-moving due to non-visibility at GT trade. This fast-changing trend has also posed a challenge for Demand Forecast. In high growth categories, our first priority is on servicing demand. As the trends are getting established, we are working on optimizing our Supply Chain. Just as companies invest in media and factory capacity, supply chain investment is crucial in establishing a robust supply chain for sustaining high growth. In the early stages of rapid expansion, efficiency cannot be the sole focus. First, we must establish the business, acquire consumers, and fulfil demand and then optimize Supply Chain.

Once the business stabilizes and we gain better visibility into demand patterns, we can refine forecasting and optimize efficiency. In established channels like general trade, we have already achieved significant efficiencies. However, for newer channels like quick commerce and omnichannel retail, we are still in the process of scaling up. The key is to first build the supply chain infrastructure and, once demand stabilizes, efficiencies can be driven for long-term sustainability.

How can the supply chain serve as a value creator and contribute to revenue growth?

Sudip Gupta, Senior Director – Manufacturing and Supply Chain, South Asia, Cargill: In the food & beverage industry, supply chain management plays a crucial role in ensuring freshness and maintaining temperature control, both of which are vital for business success. Among all business functions, supply chain is the only one with complete end-to-end visibility, spanning from farm to fork. This visibility includes monitoring inventory levels at various points, such as customer warehouses, distributor stock, CFAs, plant storage, and transit. Additionally, procurement often falls under supply chain management, providing insights into purchasing costs, quantities, and timing. This unique capability enables supply chain teams to optimize operations, reduce inefficiencies, and ultimately drive profitable revenue growth for the organization.

One of the most critical processes within supply chain management is Integrated Business Planning (IBP) and Sales & Operations Planning (S&OP). While the maturity of IBP varies across organizations, its effectiveness depends on the ability to integrate multiple aspects, including product management, demand and supply forecasting, and overall business decision-making. A well-structured IBP process ensures organizational alignment, cost optimization, increased profitability, and improved product freshness. When supply chain functions efficiently in this manner, it becomes a key contributor to business growth and competitive advantage.

A major factor in supply chain decision-making involves managing trade-offs. One such trade-off exists between cost and service levels. While it is possible to maintain near-perfect service levels, doing so comes at a significant cost. Identifying the optimal balance is crucial to achieving both customer satisfaction and profitability. Another important trade-off is between lot size and product freshness. In manufacturing, there is often a tendency to favour larger lot sizes for improved plant efficiency. However, if excess inventory remains unsold within the designated turnaround time, the advantages of large-scale production are negated. Similarly, in procurement, bulk purchasing might offer cost savings, but if product quality deteriorates before it reaches consumers, those savings become irrelevant. Another challenge lies in balancing capital expenditure with return on investment. Organizations must ensure that any investment in supply chain infrastructure contributes to long-term profitability rather than just operational improvements. Additionally, compliance and flexibility must coexist harmoniously. While stringent quality and financial controls are necessary, excessive rigidity can slow down processes and hinder business efficiency. It is important to evaluate which compliance measures add value and which ones merely create bottlenecks in the system.

A strong customer-centric approach is also fundamental to supply chain strategy. With the rapid growth of modern trade and e-commerce channels, companies must work closely with customers to understand their specific requirements. Demand patterns, inventory models, retail outlet performance, and sales velocity all play a role in defining effective supply chain strategies. It is not enough to analyse aggregate demand; companies must also understand how customers interact with end consumers. By aligning supply chain operations with customer needs, businesses can ensure timely deliveries, reduce waste, and improve overall service levels.

Automation and digitalization are now indispensable elements of modern supply chain management. The COVID-19 pandemic accelerated the need for automation, making supply chains more flexible and resilient. Companies are increasingly investing in AI-driven demand sensing, smart manufacturing processes, and warehouse automation to streamline operations. Additionally, IoT-based temperature monitoring is becoming an essential tool for maintaining cold chain logistics, ensuring that perishable goods remain fresh throughout the supply process. While automation enhances efficiency, it also demands skilled personnel and reliable suppliers to maintain consistent performance. The success of automation depends not only on technology but also on the ability to integrate it seamlessly into existing processes.

At Cargill, several strategic initiatives are being implemented to strengthen the supply chain. A key focus area is improving the IBP and S&OP processes to manage demand fluctuations, new production introduction, SKU and portfolio optimization and more importantly, decisions basis integration of demand and supply along with margins to support business strategy. By refining short-term planning capabilities through S&OE, the company aims to navigate market volatility while ensuring supply chain stability. Another major initiative involves expanding automation and sustainability efforts. Dedicated teams are working on enhancing demand forecasting accuracy, incorporating sustainable business practices, and implementing smart manufacturing solutions. The company is also prioritizing greater customer centricity by ensuring that supply chain insights inform decision-making across manufacturing, commercial, and financial functions. This collaborative approach fosters alignment within the organization and enhances its ability to deliver high-quality products to customers. Additionally, investments in cold chain technology, such as IoT-based temperature sensing, are helping to maintain product freshness and strengthen logistics operations.

Through these initiatives, supply chain management at Cargill is key driver for revenue and profitable growth through cross functional alignment. By leveraging end-to-end visibility, optimizing tradeoffs, enhancing automation, and strengthening customer collaboration, supply chain plays a pivotal role in delivering high-quality, fresh products efficiently and profitably.

Chetan Kumria, Founder & MD, Xcell Supply Chain Solutions: Post-COVID, there has been a significant shift in the role of supply chains, moving beyond a purely cost-centric approach to becoming a key value driver. With increased representation at board-level discussions, supply chain management is transforming from a traditional operational department into a strategic growth enabler for businesses in India and globally. This transition is driven by various factors, including evolving processes to manage demand volatility, optimizing stock availability at retail shelves, and leveraging data-driven insights.

To illustrate this transformation, I’d like to share a personal experience where we played a crucial role in driving revenue growth for a company. As a 3PL and 4PL service provider, we undertook network optimization for a healthcare company.

Traditionally, companies in India operate by importing or manufacturing products, distributing them through multiple layers—including distributors and stockists—before reaching retailers and end consumers. Our approach involved eliminating the distributor layer, which not only reduced costs but also provided real-time visibility into end-consumer behavior. Specifically, in the healthcare sector, this allowed the company to track patient consumption patterns, monitor product efficacy, and assess whether prescribed dosages were being adhered to.

This level of data visibility, which was previously scattered and unstandardized, enabled the company to make informed decisions, ultimately leading to improved efficiency, higher sales, and revenue growth. By bypassing traditional distribution bottlenecks and leveraging real-time insights, we successfully helped the company enhance both its cost efficiency and market reach. This case demonstrates how modern supply chains are evolving beyond logistics and operational efficiency—they are now integral to revenue generation and business strategy.

How can S&OP be the revenue driver and aid stock availability at the market level?

Nitin Saini, Director – Supply Chain, Kohler Co. India: When I think about how S&OP (Sales and Operations Planning) can become a revenue driver and ensure stock availability in the market, I can’t help but draw some parallels to the principles James Collins talks about in his books like Good to Great and Built to Last. He highlights one consistent theme throughout the success stories of companies: discipline. From my own 25 years of experience, I’ve observed that organizations that consistently follow the basic S&OP process tend to be more successful, stable, and profitable. They create a disciplined culture that benefits everyone—employees, customers, and the business itself. These are businesses that avoid the chaos and burnout that comes with reactive strategies. On the flip side, I’ve seen companies that neglect S&OP processes and, over time, find themselves scrambling to catch up. This creates a toxic cycle of employee frustration, burnout, and turnover, which ultimately hinders long-term growth and success.

When I break it down, I think of S&OP in two core areas: getting demand planning right and then creating an effective supply response to match that demand. If we focus on demand planning first, this is where supply chain leaders should spend a significant portion of their time—about 50% in my experience. It’s not just about creating forecasts using historical data and algorithms, although that is part of it. Demand planning also involves gathering qualitative inputs, and this is where leadership in S&OP comes into play. You need to create forums where people across the business can share what’s on their minds: new product ideas, market trends, and customer feedback. This open communication helps you capture the insights and nuances that algorithms can’t detect.

To generate a strong demand forecast, you need a robust mix of quantitative and qualitative inputs. The outcome of this planning process should be an unconstrained demand forecast. This essentially means you’ve identified the maximum revenue potential you can achieve for a given period—whether it’s a month, a quarter, or a full year. It’s about setting that goal for yourself and aligning your supply chain to fulfill it. But even with the best efforts, we all know that demand forecasting is never perfect. In fact, we’re lucky if we can achieve 60-70% accuracy due to the complexity of market dynamics, product changes, and external variables.

This is why the next step in the process is crucial: creating a supply chain that’s agile enough to respond to fluctuations in demand. We know that no matter how well we plan, things will always change—sometimes at the last minute. A responsive, agile supply chain can pivot quickly and adjust to these changes, whether it’s fulfilling an unexpected order or compensating for a shift in consumer behavior. From my experience, I’ve identified four key pillars that help businesses create an agile and effective response to demand changes. These pillars are crucial in building a robust supply chain that can both support current needs and scale with future growth.

  • Rationalization and Segmentation: The first pillar is rationalizing your product portfolio and segmenting it strategically. This is an area where many businesses struggle because it requires constant evaluation of which products are worth keeping in the portfolio. Often, companies hold on to products that aren’t delivering the desired revenue, simply because they’ve been around for a long time or because no one has actively pushed for a change. But as a supply chain leader, it’s critical to take the initiative and drive the rationalization process. Without this, the portfolio becomes unnecessarily complex, leading to inefficiencies. By identifying the underperforming 5% of your portfolio and removing them, you reduce complexity, free up resources, and make it easier to manage your supply chain effectively. This is where the Pareto Principle (80/20 rule) comes into play—focus on the 20% of products that generate 80% of your revenue and eliminate the bottom performers.
  • Localization: The second pillar involves localization. Localization can mean different things depending on the context, but it generally refers to producing goods closer to the point of demand. This could involve shifting from importing finished products to producing them locally or developing a network of suppliers nearby. For example, in some of my past roles, I’ve seen how localizing production helps businesses respond more quickly to changing demand. In manufacturing-heavy industries like automobiles, for instance, local suppliers can contribute to more efficient inventory management, reduce lead times, and allow for more flexible manufacturing strategies. By localizing, you also reduce dependency on long lead times and mitigate risks related to supply chain disruptions, which is increasingly important in today’s global market.
  • Delayed Differentiation: The third pillar is delayed differentiation. This concept has been incredibly useful in my career, particularly in industries where customization is important. Essentially, delayed differentiation means postponing the final customization of a product until closer to the point of demand. For instance, at Duracell, we imported bulk materials and then packaged them locally to respond faster to fluctuations in demand for different SKUs. This helped us improve our service levels by reducing lead times and also unlocked capital tied up in inventory. Similarly, at Del Monte, I shifted our approach to importing bulk olive oil and then packaging it locally instead of importing finished goods in various sizes. This change reduced both costs and response time, and ultimately improved our overall service.
  • Network Optimization: The fourth pillar is network optimization. This involves continuously reviewing and optimizing your supply chain network. Whether it’s about where products are made or how they’re distributed, it’s important to adapt your network as your demand and supply conditions change. As a supply chain leader, you need to be flexible and willing to adjust the structure of your network to ensure that you’re always delivering the right products to the right places at the right time. This is especially crucial when managing multiple markets or regions, as different areas may have different demand patterns and logistical requirements.

Dharmesh Srivastava: First Time Case fill Rate (FTCFR) is the most time tested and robust metrics for Supply Chain to work upon. The high Case Fill rate would ensure that S&OP can be the revenue driver, however a caution must be exercised not to increase Inventory levels so high which may lead to higher costs due to Obsolescence or Inventory carrying costs.

Chetan Kumria: I’ve seen first-hand how late-stage differentiation and customization can be real gamechangers, especially in industries where products need to be tailored to specific customer needs. I’ll give you an example from when we were working with an imported product in India. When the volumes were still low, we initially used to import the finished product directly. However, as the demand grew, we had to rethink our strategy. We began importing bulk product into India, specifically to a central location. From there, we would distribute it, and eventually, as volumes increased further, we started bottling the product at different bottling plants near the customer. This shift not only helped us improve service levels by making sure we could respond faster to demand changes but also reduced overall costs by localizing the production process.

In another example, I’ve observed a unique situation in the healthcare sector that really demonstrates how critical stock availability is. For instance, in the medical device industry, particularly with heart stents, hospitals don’t typically buy and stock the product in advance. Instead, there are multiple companies with consignment inventories stationed at hospitals. When a surgery is scheduled, the healthcare professionals need to choose the exact type of stent based on the patient’s requirements. The stents may vary in length or size, so having a variety of SKUs available right there in the hospital becomes essential. This means the companies must be ready at a moment’s notice, ensuring stock availability just in time, which is a different kind of supply chain flexibility.

The ability to meet the demands of such highly specialized markets— whether it’s FMCG, Food, beverage or healthcare—demonstrates the power of a well-executed S&OP process. It enables stock availability, differentiation, and responsiveness to changes in demand. The idea that supply chains can play such a direct role in both revenue generation and life-saving applications really highlights how critical it is to have the right products in the right place at the right time.

How will the integration of automation and AI in supply chains evolve over the next five years, and will it lead to cost savings or revenue growth?

Nitin Saini: I would like to highlight some challenges that I encounter in my industry, which make the adoption of AI a bit more complex. One of the significant issues I face is that about 40% of the demand in my business is project-based. In this model, traditional= AI applications for demand forecasting are not effective because demand is driven by specific projects with unique timelines, and AI cannot easily predict such demand fluctuations. For example, when you win a project bid, the actual sales will only happen over the next 6 to 12 months. In these cases, relying on AI to forecast demand in the short term is difficult, as AI needs reliable, recurring data to generate accurate predictions.

Additionally, the traditional B2C channels in India continue to be a challenge, especially when visibility into the trade is limited. In many cases, the sales data we have only represents primary sales, but this data doesn’t reflect the actual end-customer demand. For example, month-end rebates or pressure from sales teams can artificially inflate sales numbers, making it hard to understand the real demand from the consumer market. Given these challenges, I don’t doubt the capabilities of AI but applying it to these scenarios is tricky. AI’s ability to generate demand forecasts depends on the quality of data it’s trained on, and in this case, the data may not be as reliable or reflective of actual consumer behaviour.

Having said that, there is a specific area where I believe AI can provide tremendous value—post-sales service parts management. In industries where products have long lifespans, like mine, managing spare parts is a crucial part of the supply chain. We may live with a product for 10 years, and over time, parts may need replacement. However, there is currently no AI-based system that can predict these failures with high accuracy.

What I need is an AI-driven solution that can analyse historical failure patterns based on batch data, product usage, and other variables to forecast when and what parts will likely fail. This will allow us to stay ahead of the game and ensure that the right spare parts are always available for service teams, without overstocking or running out of essential components. The predictive capabilities of AI could help us make these predictions with greater precision and efficiency, ultimately improving customer satisfaction and reducing costs.

While AI has immense potential to transform supply chain management, its application needs to be tailored to the specific needs and challenges of each business. For industries with predictable demand, AI will undoubtedly save costs and increase revenue. However, for project-based or traditional trade models where demand is less predictable, a more cautious and adaptive approach may be required. By leveraging AI strategically, supply chains can be optimized in new and innovative ways, unlocking both operational efficiencies and growth opportunities.

Dharmesh Srivastava: In most of the companies, automation of various Supply Chain processes like Demand Planning (Forecasting), Production Planning using ERP tools, Deployment Planning, Transportation management using TMS, Warehouse Management using WMS and Optimization of Supply Network using some optimizer is already in practice. However, AI is still much in concept and talks than in practice. I think, some areas of Supply Chain like Demand Forecasting and Control Towers which require inputs from multiple sources and having fuzzy logic/probabilistic in nature would be the first ones to be tried to be solved using AI.

Venu Vashista, Head Supply Chain, Altius Telecom Infrastructure: Artificial intelligence (AI) is undeniably the future, especially in the context of supply chain management. However, it is essential to recognize that different AI technologies and platforms, such as ChatGPT or DeepMind, serve distinct purposes. When we talk about AI for supply chains, the focus is on its potential to enhance demand forecasting and overall decision-making.

One of the major challenges faced by companies in any industry is understanding and predicting demand. To address this challenge, AI can be an immensely useful tool. In my experience, no company can cater to 100% of its demand because the supply chain costs involved in trying to meet all of it would be prohibitively high. This would result in significant inefficiencies and excess capacity, which can be financially draining. Therefore, companies usually set a target of fulfilling about 80-90% of the demand, and meeting this demand efficiently without over extending resources becomes the key.

This is where AI plays a crucial role. AI can help organizations accurately sense and forecast demand, which is a major aspect of supply chain management. It does so by considering both macro variables (such as economic trends, geopolitical factors, and broader industry movements) and micro variables (like local consumer behavior or specific product preferences). AI can analyse vast datasets, much more efficiently than traditional manual methods, to pinpoint these demand trends and help make better decisions about inventory management and production schedules.

By adopting AI in the supply chain, companies can move away from traditional, time-consuming forecasting methods like spreadsheets (Excel) to machine learning-based systems that can handle complex variables and provide highly accurate predictions. Once these predictions are in place, AI enables companies to meet that forecasted demand by adjusting supply and production schedules more dynamically.  This level of precision allows businesses to better align their operations with actual customer needs rather than relying on vague, generalized assumptions. The more accurate a company can be in forecasting and fulfilling demand, the less waste it will incur from unsold stock or unused production capacity. This reduction in waste and inefficiency leads to cost savings and improves overall revenue performance. Therefore, integrating AI into supply chain planning should not just be seen as a way to save costs but also as a way to unlock new opportunities for growth. For supply chain professionals, the key is not to doubt AI, but to trust it and integrate it into their operations.

In summary, AI’s potential in supply chain management is vast and multifaceted. It can transform how companies forecast and meet demand, leading to smoother operations, reduced costs, and ultimately, improved revenue growth. By embracing AI as an integral part of supply chain planning, companies can optimize their processes and gain a competitive edge in the marketplace.

What strategies can businesses adopt to turn supply chain efficiency into a competitive advantage?

Nitin Saini: As leaders, we must view supply chain efficiency not just as an operational mandate but as a strategic lever for competitive advantage. There are four core pillars to this approach…

  • Product Availability: A resilient and responsive supply chain ensures our products are consistently available at the right place and time. Stockouts erode customer trust and open doors for competitors. Maintaining high service levels is fundamental to protecting market share and delivering on our brand promise.
  • Cost Efficiency: By driving out inefficiencies and non-value-adding activities across the end-to-end value chain, we create a leaner cost base. This enables us to reinvest in innovation, deliver better value to customers, or gain pricing flexibility—each a potential game-changer in a margin-sensitive environment.
  • Quality Assurance: Strong supplier relationships and standardized processes help us achieve consistent quality. This consistency underpins customer confidence and strengthens brand equity—an area where leadership must set the tone and expectations.
  • Innovation through Strategic Supplier Collaboration: By cultivating deep, trust based partnerships with key suppliers, we can unlock new ideas, technologies, and market insights. Supplier-led innovation acts as a parallel engine of growth, enabling us to anticipate market shifts and stay ahead of the curve. 

Ultimately, effective supply chain leadership is about balancing agility, cost, quality, and innovation—not in silos, but as an integrated strategy that drives business performance and sustainable differentiation.

Dharmesh Srivastava: It would be different for different business. For some businesses, the speed of supply is the most important winning criteria, for some businesses the freshness of product is winning criteria and so on. Main point is that supply chain managers must work with businesses, understand the winning criteria for business, and evolve a solution in collaboration with Manufacturing, Sales, Marketing, Procurement and other functional leaders to establish a robust Supply Chain model.

As a board member, how do you see the role of supply chain in driving growth, and how is it evolving in response to industry trends, technological advancements, and market dynamics?

Venu Vashista: Drawing from my experience as an independent director on the board of an FMCG company, I have witnessed firsthand the increasing importance of supply chain expertise in boardrooms. This shift underscores the realization that supply chain is no longer just a support function, but it is a critical driver of revenue and strategic growth.

I would like to share key insights on how the supply chain has transitioned into a revenue enabler, particularly in industries with time-sensitive consumer demands. This evolution is perfectly illustrated by the quick-commerce platforms such as Blinkit and Zepto. These platforms thrive on instant gratification, promising deliveries within minutes. If a product is unavailable, customers quickly turn to alternatives, another online platform or a nearby store. This retail out-of-stock scenario represents not just lost sales but a direct revenue hit.

Early in my career at one of best FMCG companies, I learned the profound revenue implications of retail out-of-stock situations. Companies often invest millions in marketing to draw customers, but when products are unavailable at the moment of purchase, marketing budgets are rendered ineffective. This challenge is even more acute in e-commerce, where consumer impatience is amplified. Supply chain teams play a pivotal role here, ensuring products are available to convert marketing investment into actual sales.

In another instance, while working with a manufacturing brand, I encountered a different dynamic. Here, purchases occur infrequently, often every 5–10 years. The absence of a product at a crucial buying moment doesn’t just result in immediate loss; it leads to long-term revenue forfeiture, as customers rarely return for the same purchase. This exemplifies why maintaining stock availability is critical in sustaining business success over time.

At Altius, operating in the B2B telecom infrastructure sector, supply chain dynamics take on another unique dimension. Delivering telecom towers to operators like Airtel, Jio, and BSNL demands careful planning. With long lead times of 12-13 weeks coupled with warehouse storage challenges, timely delivery becomes paramount. Delays in tower delivery directly impact revenue, as operators pay for tower usage monthly. Thus, balancing cost management with timely service is vital in such industries where delays mean cash flow disruptions.

Across industries, be it FMCG, e-commerce, premium goods, or B2B sectors, the supply chain consistently proves to be the backbone of revenue generation. The function’s ability to prevent out-of-stock scenarios, ensure timely service, and balance cost with service delivery has a direct, measurable impact on the bottom line. For companies still viewing supply chain as a cost center, it is essential to recognize its strategic value. Supply chain professionals need the empowerment to make balanced decisions that prioritize both service and cost management. Their work has far-reaching consequences, transforming supply chains into indispensable revenue enablers.

(Disclaimer: The views and opinions expressed are solely experts’ own and do not represent the official policy, position, or views of their employers or any organization with which they are affiliated.)

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