Everyone knows how important a good relationship is. In a lean supply chain, business relationships have intrinsic value. They have a direct impact on a company’s efficiency—one that is far greater than the competitiveness or efficiency of any single player alone.
Building Lasting and Mutually Beneficial Relationships
The underlying interaction between manufacturers and suppliers fosters long-term relationships that go beyond simple one-time transactions. These relationships take on a natural organizational form and are far more effective than sporadic relationships with third parties, which are often a source of inefficiency. Business relationships consist of a series of interactions and behaviors that influence one another, making them perfectly suited to the Lean supply chain model.
Elements of Coordination Among Supply Chain Stakeholders
To fully leverage long-term relationships for the benefit of the supply chain, it is essential to understand the elements that make them up. The ARA model is based on three key elements:
1. Stakeholders. In a Lean supply chain, there is a buyer and one or more suppliers. The buyer determines how to interact with suppliers based on past experiences, market conditions, and the perceived value of the relationship.
2. Resources. Manufacturers do not always have all the resources necessary for their processes. They must therefore collaborate to access resources such as packaging products—like the metal packaging supplied by Desjardin—used in the cosmetics and food industries. By forging business-to-business relationships, companies gain access to, exchange, or develop the necessary resources, creating a lasting bond. This can lead to a form of dependency when resources are limited.
3. Activities. Activity linkages arise when a company’s operations depend on those of another player in the chain. For example, cosmetics or food manufacturers must have a supply of packaging available at a specific point in their process. Thus, the order for packaging is triggered by an upstream activity. These activities can be outsourced and combined, offering economic benefits and strengthening interdependencies. These patterns evolve over time, making it essential to evaluate and optimize combinations of activities.
Desjardin's Role in the Lean Model
As a supplier of metal cans for cosmetics and food products, Desjardin adheres to the Lean process through its pull-based approach. Desjardin does not package the products itself, but supplies custom-made tin or aluminum cans printed according to the manufacturer’s specifications. This may include the same can model, but with different printing depending on the distribution region or the contents.
Integrated into a manufacturer’s lean production line, Desjardin meets demand based on actual needs, avoiding bottlenecks caused by delays in obtaining packaging solutions while products are ready for shipment.
References and Further Reading
- Learn more about supply chain management in the food and cosmetics industries (2019–present)
- "Lean Supply Chain from an IMP Perspective (2020)," by Leandro D.B. dos Santos, Elsebeth Holmen, and Ann-Charlott Pedersen. In: Journal of Business & Industrial Marketing, ISSN: 0885-8624
- ERP and Logistics Control in the Supply Chain (2011), by Adam Koliński and Paweł Fajfer.
In: Information Technologies in Environmental Engineering – New Trends and Challenges, publisher: Springer, scientific editors: Paulina Golinska, Marek Fertsch, J. Marx-Gomez
