Packaging Complexity Management Tip 3: Clear approval and control processes for portfolio changes

Packaging Complexity Management Tip 3: Clear approval and control processes for portfolio changes

Do you have clear approval and control procedures for adding and removing SKUs from your portfolio?

Discussion

Firstly, do you have the appropriate cross-functional governance to ensure that all relevant impacted parties are engaged in the decision making and represented appropriately at a senior level? Failure to have a balanced governance will likely result in sub-optimal decisions and low levels of buy-in.

Secondly, do you have a clear set of principles endorsed by the senior governance team to manage the portfolio?  These define the ‘rules of the game’ and set the criteria that decisions should be made against.

Thirdly, do you have rules and processes in place for adding or deleting SKUs and components.  These processes need to ensure that the decision making hierarchy aligns with the complexity of change occurring.  Processes should also include routine reviews of the portfolio (see Tip 4).

Finally do your processes ensure that the costs for change are considered in decision making and preferably charged to the groups in the organisation driving those changes, for example charging the cost of artwork change to the originator?

This is the third of a series of 20 blogs giving a view of methods to deal with packaging complexity. Please help me improve the thinking by adding your comments and share this with others who may have a view.

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