Launching a Product in Europe: Understanding Supply Chain Cost Drivers

Supply Chain Cost Drivers:
The main cost drivers in supply chain management include investment costs, transportation costs, procurement costs, production costs, and inventory costs.

European Market Considerations:
Launching a product in Europe requires understanding the diverse cultural, economic, and regulatory landscape. Tailoring products and marketing strategies to each region is crucial.

Supply Chain Risk Management:
Effective risk management involves identifying, quantifying, and mitigating risks. This can be achieved through scenario planning, digital twins, and real-time risk visibility.

De-risking Supply Chains:
The European Union is focusing on de-risking supply chains, especially in critical raw materials and green technologies, to reduce dependencies on third countries.

Balancing Efficiency and Effectiveness:
Supply chain management involves balancing efficiency and effectiveness. Decisions on production, inventory, location, transportation, and information management are critical for achieving this balance.