Transportation

Stop Designing Supply Chains Like the World Revolves Around You

Grant Sernick
Grant Sernick
November 6, 2025
-
3
min read
Stop Designing Supply Chains Like the World Revolves Around YouStop Designing Supply Chains Like the World Revolves Around You

Thousands of years ago, people tried to build a calendar that matched the real world. It wasn’t easy.

The moon followed one rhythm — about 29½ days per cycle. The sun followed another — 365 days per year. The two didn’t fit neatly together.

Twelve lunar months made only 354 days, which meant that after a few years, spring festivals landed in winter and harvest celebrations missed the harvest entirely.

To fix it, civilizations added “patches.” Extra months. Leap days. Ever-more complex corrections. It worked—sort of—but the math was always off because the model itself didn’t match reality.

Instead of redesigning the system, people just kept layering on fixes.

Sound familiar?

The Company-Centric Trap

Most companies still manage their supply chains the same way. Everything is modeled from inside the enterprise — their POs, their invoices, their GL, their reports. All of their systems assume the world revolves around them.

When something doesn’t line up — a shipment delay, an invoice discrepancy, a cost that doesn’t allocate cleanly — they add another patch. Another spreadsheet. Another integration. Another “visibility platform.”

The result looks sophisticated but behaves like the ancient calendar: complex, inconsistent, and permanently out of sync with reality.

What a System-Centric Supply Chain Looks Like

The supply chain doesn’t revolve around any one company. It’s a shared system with its own laws of motion — products moving through factories, ports, carriers, and warehouses, each actor interacting with the same physical reality from a different angle.

If you step outside your company’s frame of reference and model that shared system objectively, the chaos starts to disappear.

At the center of this view isn’t your ERP or your PO — it’s the product itself. The product becomes the constant that every other process, cost, and document connects to. Everyone — supplier, forwarder, customs broker, warehouse, customer — is simply an actor participating in the same flow.

Once you start from that reference point, you don’t need patches. Everything lines up naturally.

Two Realities You Have to Reconcile

In international trade, there’s an extra layer of confusion — the freight forwarder problem. They operate in two different realities:

  1. The execution reality — the physical movement of goods through space and time.
  2. The contract reality — the commercial service you bought, maybe a single “door-to-door” move.

The two rarely align. Operationally, a shipment might cross seven legs; commercially, you paid for one. Most companies try to reconcile these two worlds manually, after the fact. It’s endless calendar-fixing all over again.

A system-centric model accepts that both perspectives are real — and connects them. The execution flow defines what actually happened. The contract defines how it was bought. You need both to understand performance, cost, and compliance.

Why AI Won’t Fix a Broken Model

Everyone wants to bolt AI onto their supply chain stack. But AI can’t fix a bad model. If your systems are company-centric and fragmented, AI will just optimize the confusion — faster.

The only way to make AI valuable is to start with a system that mirrors reality. Once the data reflects the true movement of products, AI can predict arrivals, validate costs, and manage exceptions intelligently. Until then, it’s just another layer of noise.

The 3rdwave Approach

3rdwave is built around the system, not the company. It models how the supply chain actually operates — the product flow, the shipment execution, and the contractual structure — all connected to the same truth.

Once that foundation exists:

  • Visibility is natural.
  • Finance and logistics reconcile automatically.
  • AI becomes reliable, because it’s reasoning within reality, not around it.

That’s 3rdwave.

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