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Obsessed with how companies manage, spend and save money, Jason writes about procurement, trade and supply chain issues @ Spend Matters. He has significant first hand experience developing and marketing technology and services products, has advised numerous companies on sourcing and related techniques as well as M&A pursuits.  In previous lives before tech, he was a management consultant and merchant banking analyst.

One response to “McKinsey: Getting the Supply Chain of the Future Partially Right (Part 1)”

  1. John Krech

    Great summary Jason – many businesses went down a global sourcing strategy based on using ERP/accounting packages that only considered variable cost implications without weighing the cost of capital. Using the right metric can make all the difference, such as economic value added or EVA (the net operating income after taxes minus cost of capital). EVA treats the supply chain as an investment and tends to favor a more agile/local supply chain strategy.