Supply chain management has long been used to reduce costs, improve efficiencies, and increase customer satisfaction. Today, many companies even believe that a lot of competition within the manufacturing sector is not just about who has the greater product or better brand, but who has the best supply chain.
And, while you likely understand the importance of your supply chain, when was the last time you really looked at how effectively it was performing?
To gain a comprehensive, 360-degree view of your supply chains’ performance and effectiveness, you need to closely analyze five critical factors:
- Alignment. It is imperative for success that your supply chain support your company’s long-term plans for growth, innovation, and sustainability.
- Value. Your strategy should identify suppliers who will work with you to help you achieve your goals by sharing ideas, capabilities, and capacity.
- Risk Management (RM). The unexpected happens, but a solid RM plan can help prevent long-term interruptions and events that could damage your products and reputation.
- Visibility. Focusing only on current supplier bottlenecks can be short-sighted, but with a clear view into the operations of all suppliers future potential constraints can also be avoided.
- Metrics. Gain a better understanding of how well you are serving customers and handling operations with metrics related to speed, inventory, and finances.
Want to learn more about optimizing your supply chain? Download our 19-page eBook MEP Initiative for Supply Chain Optimization. This in-depth exploration delves into each of the following areas and much more:
- Creating Your Roadmap to Supply Chain Optimization
- Developing and implementing your strategy while engaging and deploying partners.
- Avoiding the “Twin Killers” of an Efficient Supply Chain
- How dependence and variation can result in slow-downs and interruptions.
- Developing Your Risk Management Strategy
- Learning to identify, assess, manage, report and monitor your strategy.
- Determining Supply Chain Optimization vs. Supplier Development
- How you can avoid playing “Whack-a-Mole” with suppliers and develop current ones.
- The importance of Total Cost of Ownership (TCO)
- Understanding the costs related to the acquisition, transportation, and storage of products within the supply chain and how TCO can impact your strategic sourcing process.
At the California’s 2016 Code Conference, Elon Musk, CEO of Tesla and SpaceX, told an audience of hundreds, “the supply chain stuff is really tricky.” That’s an understatement! If you’re feeling a bit overwhelmed by your supply chain processes, or just need some expert insight, download the eBook today.