What is the EPIC Global Supply Chain Readiness Index?
Through a recent collaboration, The Council of Supply Chain Management Professionals (CSCMP) and the University of Tennessee, Knoxville have announced the formation of the EPIC Global Supply Chain Readiness Index; a data-driven approach that provides qualitative insights to help users improve end-to-end supply chain visibility.
At its source, EPIC combines the quantitative analysis powered by the Global Supply Chain Institute (a program for students at the University of Tennessee, Knoxville) and IHS Markit research to create a powerful tool for supply chain stakeholders to improve intelligence gathering in addition to streamlining decision-making processes and improve risk mitigation strategies.
The majority of details related to the EPIC Global Supply Chain Readiness Index and its 2020 report is articulated in a book that was co-authored by several faculty members from UTK and the ESSEC School of Management located in Paris, France. The book is titled, Global Supply Chains: Evaluating Regions on An EPIC Framework.
But if you want a quick rundown of what this readiness index is all about and how you can make the most use of the EPIC Global Supply Chain Readiness Index for your own operation, reach out to the Redwood team today.
Explaining the EPIC Framework Concept
The recently released book introduces the EPIC Framework as an approach and methodology that will enable a supply chain-related firm to better assess individual regions or locations that operate within the global supply chain. Some of the specific industries outlined within this model include manufacturing, sourcing, and distribution.
The EPIC Framework receives constantly updated data sets selected by the team at the University of Tennessee, backed up by analytical data supplied by IHS Markit. Ultimately, these figures are determined in order to provide supply chain stakeholders and executives with valuable insights about supply chain capabilities on a global front.
In a recently published report, Rick Blasgen, the President and CEO of CSCMP indicated that since the supply chain is constantly evolving, the need to continually adapt to the landscape to stay competitive is more critical than ever.
Most supply chain stakeholders plan and expect certain service disruptions. However, the EPIC Global Supply Chain Readiness Index helps to provide a more intelligent and accurate estimation as to how to enter new markets based on the potential of disruptions and on the needs of specific consumer segments. It achieves this, as aforementioned, through the accumulation and analysis of global data.
The EPIC Global Supply Chain Readiness Index helps these industry leaders and managers review crucial data in real-time such as during recessions, trade wars and changes in tariff standards, and even in the event of natural disasters.
How the EPIC Framework Helps Supply Chain Leaders
It’s not a huge secret – those who are equipped with the best tools to navigate the global supply chain are ones who succeed. The EPIC Framework is one of these tools. For supply chain companies to increase competitiveness on a global front, they need to understand risks associated with entering a specific region or segment.
The EPIC Framework, according to the Executive Director of the Global Supply Chain Institute Shay Scott, was developed to give accurate data based on theoretical entrance to new markets. It gives them the option to research those unexpected situations that occur in new markets without making a huge financial investment.
Ultimately – it powers them with practical data to make informed and smart decisions on how to enter new market segments that are more diverse.
How the EPIC Framework Evaluates Global Regions
There are multiple tools that help stakeholders and leaders identify strengths, weaknesses, opportunities, and analyze threats of different regions across the globe (also known as a SWOT analysis). The EPIC Framework provides the structure for reviewing these metrics based on different readiness indicators including:
- Competency: Not every country or region has the capacity to fulfill simply due to education or understanding of modern supply chain operations. This framework reviews the competency of developing nations to those who are active in modern supply chain operations. It determines if the region or country can handle your level of logistics operations.
- Infrastructure: Warehousing, highways, city roads, and even air conditioning or cooling technology provides the infrastructure for many logistics-based businesses. If a region is not capable of handling your supply chain operations based on infrastructure, this framework can help discover deficiencies.
- Economic & Political Factors: Geopolitical and economic stability also impact the efficient movement of commodities through the supply chain. The EPIC framework reviews this crucial data to assess a risk-based on political or economic factors.
The EPIC Framework can help to define and explain the ebbs and flows of the global market based on raw data. This, in turn, permits CSCOs to assess the possible impacts of their global supply chain programs well into the future, allowing them to prepare and take preemptive action where necessary.
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