Supply Chains Differentiation in a FMCG Сompany

Based on the literature review and the experience of foreign companies an approach to the differentiation of supply chain of FMCG sector companies was proposed in the form of specific actions in the paper. Main types of supply chain and approach to their differentiation were identified in the research. Based on the analysis of available literature basic rules of supply chain differentiation for FMCG sector companies were proposed: the method of supply chain differentiation, the criteria for supply chain differentiation, the main types of company supply chain and the parameters of supply chain that depend on the type of a chain. The sequence of defined actions was used on the example of a large international FMCG-company. First, the product categories have been differentiated into the identified supply chain types (lean, agile, reliable and responsive). Secondly, a tool to determine the current (as-is) position of each category within the matrix of supply chain types was developed. Thirdly, the gaps between actual and desired (to-be) position for each product category were identified. Fourthly, an action plan for reduction or elimination of the identified gaps was proposed. Finally, the economic effect from the proposed measures implementation was estimated, and it demonstrated that measures would provide significant potential for company’s expenses reduction and profit increase.