{"id":255,"date":"2026-06-05T12:38:24","date_gmt":"2026-06-05T19:38:24","guid":{"rendered":"https:\/\/scmwithsekharv.com\/?p=255"},"modified":"2026-06-05T13:06:28","modified_gmt":"2026-06-05T20:06:28","slug":"trust-the-invisible-inventory-in-every-supply-chain","status":"publish","type":"post","link":"https:\/\/scmwithsekharv.com\/?p=255","title":{"rendered":"Trust: The Invisible Inventory in Every Supply Chain"},"content":{"rendered":"\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-1 wp-block-paragraph\"><strong><em>Most managers think inventory, capacity and cash are assets.<\/em> <em>I learnt during a turnaround that trust can be an equally valuable asset.<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-2 wp-block-paragraph\"><em><strong>The Incident<\/strong><\/em><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-3 wp-block-paragraph\">During one of my turnaround assignments as CEO of an export-oriented manufacturing company&#8230;&#8230;     &#8230;&#8230;..One day, a supply chain partner walked into my office with a problem.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-4 wp-block-paragraph\">Acting on a verbal assurance from our VP-Marketing, he had positioned a container to lift export material from a subcontractor. Unfortunately, the expected Letter of Credit from the overseas customer had not materialized.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-5 wp-block-paragraph\">The container sat idle for three weeks.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-6 wp-block-paragraph\">Demurrage charges mounted to an astronomical amount.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-7 wp-block-paragraph\">Our VP&#8217;s defense was simple:<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-8 wp-block-paragraph\">&#8220;There was no written commitment.&#8221;<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-9 wp-block-paragraph\">Technically, he was correct.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-10 wp-block-paragraph\">But I disagreed.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-11 wp-block-paragraph\">I told him that a company&#8217;s integrity does not begin when a contract is signed. A word given to a supply chain partner is also a commitment.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-12 wp-block-paragraph\">We informed the dealer that the company would stand behind him and help resolve the issue.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-13 wp-block-paragraph\">The next challenge was the demurrage itself.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-14 wp-block-paragraph\">The transporter involved happened to be led by a gentleman with whom I had worked many years earlier. During that earlier association, I had always insisted on fairness, honesty, and transparent dealings.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-15 wp-block-paragraph\">When I explained the situation, his response was immediate:<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-16 wp-block-paragraph\">&#8220;No one should charge your company unreasonably.&#8221;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>The Unexpected Outcome<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-17 wp-block-paragraph\">84% reduction in demurrage<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>The Long-Term Outcome<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-18 wp-block-paragraph\">The same partner later helped identify the eventual buyer.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>Supply Chain Lesson<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-19 wp-block-paragraph\">Trust creates:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-20\">Faster problem resolution<\/li>\n\n\n\n<li class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-21\">Better collaboration<\/li>\n\n\n\n<li class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-22\">Lower transaction costs<\/li>\n\n\n\n<li class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-23\">Greater resilience during crises<\/li>\n\n\n\n<li class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-24\">Long-term reciprocity<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Modern Relevance<\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-25 wp-block-paragraph\">In an age of AI, analytics, ERP, and automation:<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-26 wp-block-paragraph\">Relationships still matter.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-27 wp-block-paragraph\">And relationships are built on values.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong><em>Conclusion<\/em><\/strong><\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-28 wp-block-paragraph\">Modern supply chains are increasingly powered by AI, advanced analytics, ERP systems, and digital platforms. Yet, when disruptions occur, it is often trust\u2014not technology\u2014that determines how quickly problems are resolved. My experience taught me that integrity is not merely a personal virtue; it is a strategic asset that compounds over time. Like inventory, it must be built patiently. Unlike inventory, its value often becomes apparent only when a crisis occurs.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-29 wp-block-paragraph\">A supply chain may be driven by systems and processes.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-30 wp-block-paragraph\">          But it is sustained by credibility.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-31 wp-block-paragraph\">          AI can improve forecasting.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-32 wp-block-paragraph\">          Analytics can optimize inventory.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-33 wp-block-paragraph\">          ERP can improve visibility.<\/p>\n\n\n\n<p class=\"has-ast-global-color-0-color has-text-color has-link-color wp-elements-34 wp-block-paragraph\"><strong><em>But trust remains the invisible infrastructure that enables supply chains to function when unexpected events occur.<\/em><\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most managers think inventory, capacity and cash are assets. I learnt during a turnaround that trust can be an equally [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[48,1],"tags":[53,51,15,16,20,52,39,54,49,43,50],"class_list":["post-255","post","type-post","status-publish","format-standard","hentry","category-supply-chain-leadership","category-uncategorized","tag-business-ethics","tag-core-values","tag-cpim","tag-cscp","tag-ctsc","tag-executive-leadership","tag-operations-management","tag-supply-chain-certification","tag-supply-chain-leadership","tag-supply-chain-transformation","tag-trust"],"mb":[],"mfb_rest_fields":["title"],"_links":{"self":[{"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/posts\/255","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=255"}],"version-history":[{"count":5,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/posts\/255\/revisions"}],"predecessor-version":[{"id":262,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=\/wp\/v2\/posts\/255\/revisions\/262"}],"wp:attachment":[{"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/scmwithsekharv.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}