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New Role for the CPO: Orchestrating the End-to-End Value Chain

Soaring competitive pressures and the rise of functional specialists are two of the main factors leading more companies to outsource not just low-value activities but increasingly, core business functions. The challenge is to effectively manage all of the moving parts along the value chain—a skill that many organizations must improve. Here is an overview of how to make that orchestration work well.

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This is an excerpt of the original article. It was written for the July-August 2014 edition of Supply Chain Management Review. The full article is available to current subscribers.

July-August 2014

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In more and more industries worldwide, outsourcing to specialists is rapidly becoming a necessity for maintaining a competitive edge.

Companies as varied as Skype, Coca Cola, Procter & Gamble, and Apple are acutely aware that their success no longer depends on doing everything themselves. These companies, and many others like them, have defined the business functions they are truly good at. They focus their internal resources on these functions, while tightly orchestrating a value chain, which spans functions from market insight and product development to delivery and customer service, and includes many well-managed external partners and suppliers.

“We are in the business of building and creating brands,” A. G. Lafley, former chief executive of P&G, said in a 2003 interview in Bloomberg Businessweek. Notably, he did not mention manufacturing, distribution, or even product development.

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Sorry, but your login has failed. Please recheck your login information and resubmit. If your subscription has expired, renew here.

From the July-August 2014 edition of Supply Chain Management Review.

July-August 2014

LEGACY Supply Chain Services has made company culture the centerpiece of how it drives innovation, efficiency, and the creation of value for its customers. Is it a model that others should replicate?
Browse this issue archive.
Access your online digital edition.
Download a PDF file of the July-August 2014 issue.

Download Article PDF

In more and more industries worldwide, outsourcing to specialists is rapidly becoming a necessity for maintaining a competitive edge.

Companies as varied as Skype, Coca Cola, Procter & Gamble, and Apple are acutely aware that their success no longer depends on doing everything themselves. These companies, and many others like them, have defined the business functions they are truly good at. They focus their internal resources on these functions, while tightly orchestrating a value chain, which spans functions from market insight and product development to delivery and customer service, and includes many well-managed external partners and suppliers.

“We are in the business of building and creating brands,” A. G. Lafley, former chief executive of P&G, said in a 2003 interview in Bloomberg Businessweek. Notably, he did not mention manufacturing, distribution, or even product development.

SUBSCRIBERS: Click here to download PDF of the full article.

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About the Author

Sarah Petrie, Executive Managing Editor, Peerless Media
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I am the executive managing editor of two business-to-business magazines. I run the day-to-day activities of the magazines and their Websites. I am responsible for schedules, editing, and production of those books. I also assist in the editing and copy editing responsibilities of a third magazine and handle the editing and production of custom publishing projects. Additionally, I have past experience in university-level teaching and marketing writing.

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