Volume and cost implications of product portfolio complexity
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Business leaders are concerned about the impacts of increasing levels of product portfolio complexity since many sense that complexity related costs such as order management, procurement, and inventory threaten to undermine operational efficiencies and consume profits. Even so, managers do not fully understand the extent and breadth of the impacts of product portfolio complexity. A more complete understanding of the operational effects of product portfolio complexity is lacking partially because researchers have not yet offered a robust theoretical perspective or studied it in a focused contro...
Business leaders are concerned about the impacts of
increasing levels of product portfolio complexity
since many sense that complexity related costs such
as order management, procurement, and inventory
threaten to undermine operational efficiencies and
consume profits. Even so, managers do not fully
understand the extent and breadth of the impacts of
product portfolio complexity. A more complete
understanding of the operational effects of
product portfolio complexity is lacking partially
because researchers have not yet offered a robust
theoretical perspective or studied it in a focused
controlled way; until now. Herein, measures of
product portfolio complexity are developed and
related to sales volume and supply chain costs.
Revealed are nonlinearities which imply optimal
portfolio configurations and an approach to
quantifying the most profitable configurations.
This book is of interest to the corporate manager or
consultant seeking a greater understanding of the
topic and wanting to maximize organizational
performance. It will also be of interest to the
academic who wishes to understand the theoretical
underpinnings of product portfolio complexity.
increasing levels of product portfolio complexity
since many sense that complexity related costs such
as order management, procurement, and inventory
threaten to undermine operational efficiencies and
consume profits. Even so, managers do not fully
understand the extent and breadth of the impacts of
product portfolio complexity. A more complete
understanding of the operational effects of
product portfolio complexity is lacking partially
because researchers have not yet offered a robust
theoretical perspective or studied it in a focused
controlled way; until now. Herein, measures of
product portfolio complexity are developed and
related to sales volume and supply chain costs.
Revealed are nonlinearities which imply optimal
portfolio configurations and an approach to
quantifying the most profitable configurations.
This book is of interest to the corporate manager or
consultant seeking a greater understanding of the
topic and wanting to maximize organizational
performance. It will also be of interest to the
academic who wishes to understand the theoretical
underpinnings of product portfolio complexity.
