Don’t go another day without knowing these 10 supply chain secrets:
Secret #1 - Auto Purchasing
One integral skill a supply chain manager must master is inventory management. Purchase too much inventory, and the manager risks not being able to sell it all if the market changes. Purchase too little inventory, and you risk losing out on sales you can’t fulfill. It’s a balancing act that takes attention to detail and a keen sense of the market.
A secret the supply chain experts in the industry don’t share is automatic purchasing. As a supply chain manager, one can auto purchase inventory if it drops below a certain level. This makes it so that managing inventory becomes more of a market study instead of a fulfillment exercise. Those managing inventory levels can focus on the maret more instead of the inventory, which will offer more opportunity to decrease costs and increase profits.
Secret #2 - Standardize The System
A standardized ERP system makes it so transactions are efficient and effective. There are less instances of mistakes, which lead to a more efficient supply chain. This will save time and money. Furthermore, a standardized system gives staff the same set of tools to operate the various portions of the supply chain, which leads to more cooperation, less miscommunication, and more innovation.
Secret #3 - Increase Transparency
Fraud, mistakes, and waste will always plague supply chains. However, with an ERP system, the supply chain can be greatly improved. The entire chain will be using the same set of tools and technologies to log transactions, which make it more about getting things done than trying to make an extra buck off the system. What’s more, transparency in a supply chain demands accountability, which improves morale. This can lead to a more efficient chain that produces more profits.
Secret #4 - Use Real Time Data
A lot of how a supply chain manager makes decisions determines how successful the supply can be. This means that the closer a manager can get to live data about the supply chain, the better chance that manager can make the best decision possible. Real time data offers a glimpse into each piece of the supply chain. This allows for better, quicker decisions to be made.
Secret #5 - Use Real Time Inventory Tracking
Spreadsheets. Hand-checked lists. Delayed communication. Does this sound familiar? These are three aspects of inventory management that occur in the traditional supply chain system. An ERP system allows for real time inventory tracking. Furthermore, ERP software can keep up with your supply chain, no matter how large it scales.