Business value innovation in B2B space - Part 5
- Speed and ease with which suppliers can be on-boarded on the B2B so that lead time to start the electronic business dealing with the supplier can be started as soon as contract has been signed between the parties. Any delay happening there is loss of business to both the parties.
- Cycle time to fulfill a valid order right from the order generation within the organization boundary, posting of the order to supplier and provisioning and fulfillment of the order by the supplier and finally closure of the order in the system. More the cycle time, lesser the agility with which organizations can cope up with the dynamic/unpredictable demand.
- Speed and flexibility with which organizations can change and optimize their B2B processes based on the capabilities of the business partner network could determine to great extent how fast they can innovate new business results using the existing resources/constraints. In this case, lead time to evolve the business processes in B2B network (that removes inefficiencies, ineffectiveness and other bottlenecks) defines how costly the changes will be and how soon organization could start getting benefits of the process improvements/innovation.
So if we look at the end-to-end supply chain that is being served by the B2B infrastructure, organizations should be able to monitor how fast (or slow) values are being created at every node of the business exchange. With that, they should be able to identify strategies to reduce the lead time and improve the speed and agility with which values can be created.
