Xavier de Langlade, Supply Chain Manager of the Business Desktop Division & Supply Chain Network Manager of the PC Group of Hewlett Packard couldn't agree more. He had been responsible for the design and implementation of supply chain restructuring initiatives for Hewlett Packard (HP) worldwide. Looking back, Xavier pondered over the changes his team had initiated in the last few years - moving from build-to-stcok to build-to-order, introduction of vendor-managed inventory in the channel, creation of supply hubs, etc. And yet it did not seem enough. These initiatives had no doubt improved HP's competitiveness, i from being a marginal player in 1990 to being among the top three to four biggest manufacturers in the PC industry by year 1999. but to remain ahead of the competition there was a constant need to seek new sources of competitive advantage. The main issue facing Xavier was how to develop a supply chain architecture that would help HP grow faster than its competitors by offering better service at lower cost.