Modern-day supply chains have to deliver value on multiple fronts. Michael Dominy, vice president analyst with Gartner, explains how they can indeed "have it all."

In times of uncertainty, it’s especially important that companies operate their supply chains from the perspective of “multi-value” contributions. To Dominy, that means asking that the supply chain deliver on more than just cost, particularly sustainability and productivity.

“You’ve got to do it all,” Dominy says, despite top supply chain leaders having to deal with pressures and often competing objectives from the C-suite, board, customers and other stakeholders.

Dominy says companies today need to put together a business case for the supply chain that identifies contributions from efforts such as process digitization and compliance with sustainability requirements. He cites the example of a large beverage company that sought more than just efficiency on the production line — it implemented internet of things (IoT) technology to monitor parts and finished product, and advanced analytics to reduce line breakdowns. In the process, it realized reductions in energy waste and increases in both productivity and quality.

Somebody in the organization has to oversee all of the elements that add value to a supply chain. Dominy says that individual could be the chief supply chain officer, although he or she must also engage with the board and the rest of the C-suite to assess how risk-tolerant the organization is. Becoming “antifragile” to disruption could mean taking on more risk up front, in the form of additional inventory or suppliers in multiple regions.

Three major concerns affect a supply chain’s ability to acquire the big picture, Dominy says. First is the design of the physical network; second is the decision on where to make specific products, and third are the skills and talent of everyone in the organization.

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