In a worldwide market, it is essential to stand out from the competition: customer service is more important than cost and quality for the clients.
Setting up performance indicators covering the entire supply chain. Measuring order fulfillment & satisfaction and customer profitability between partners.
Implementing a logistics network to meet a specific segment of customers, needs, or geographic regions. Segmenting customers and analyzing individual profitability, adapting a strategy to balance service and profitability.
Accurate mapping of the logistics operations process. Identifying cost drivers and resources. Business modeling and model tagging. Developing decision models to perform costing and trend analysis.
Integrating the planning process across the supply chain. Sharing sales and forecast information through activities such as Vendor Managed Inventory. Challenging traditional manufacturing and processing locations to reduce sensitivity to demand variation. Deferring the ultimate transformation point in the supply chain.
Conducting a make or buy analysis of non-core activities. Developing partnerships with key suppliers. Supply models, analysis of purchasing policies, algorithms, forecasting methods and demand.
Analyzing demand and supplier practices to reduce product handling. Implementing drop-shipment practices and re-evaluating order quantities. Implementing total cost practices to integrate warehousing costs in high volume contracts. Setting up a supplier performance management program.
Acknowledging that the information needed to improve the supply chain resides outside the company. Facilitating data exchange through electronic commerce.
When implementing a new project impacting the supply chain such as a new factory, manufacturing line or new product introduction for example. It is important to consider the impact of these projects on the supply chain as a whole. Indeed, by having this proactive approach, it will be possible to prevent a common mistake which is to consider the supply chain as a static component of logistics.
The review of the logistics network, from the first input of the supply chain to the commercialization of the finished product, will give a dynamic vision of the whole including risks, solutions, impacts and opportunities for improvement to the decision makers.
A powerful tool is the supplier scorecard that allows you to evaluate the quality, cost, delivery and responsiveness of your suppliers. This provides increased visibility on the performance of your suppliers.
All rights reserved - Credits Hamak 2021
1 month