Developing Supply Chain Management Strategy

Many online logistics services articles promote owning, controlling, and optimizing your supply chain. However, the key is to develop your strategy based on your issues and your network of providers.

Improve Your Supply Chain Strategy with these tips below:

1.) Clear Internal Communication

There must be a connection between people on the desk and top management. Be sure the information you pass between yourselves is clear & precise and understandable so that no communication gap exists between the team.

2.) Fix Transparency

Again, precise details must be collected from the manufacturer/supplier to the transport provider, vessel operator, and distribution center. Every provider in each step of your supply chain needs to give clear and precise, regular information. This needs to be recorded as such for the internal team.

3.) Map Your Supply Chain

This should be done for every segment. Even a basic excel sheet will help. This point is often overlooked in the complex world of logistics, but a basic spreadsheet is easily shared amongst internal colleagues for a clear understanding of where you are at and where the progress is going.

4.) Specify KPIs

Be clear on what milestones are important, and even critical, in your logistics organization. What are your options if dates change unexpectedly? These KPIs will help you manage and measure your supply chain.

5.) Reset Your Anticipations

Lead times don’t always work out the way you planned. Build in a buffer. The logistics world is currently unpredictable; therefore, the unexpected does happen, and you need to be prepared and ready to tackle with quick response and intelligency.

6.) Explore Your Options and Alternatives

Can you look at alternative routings? Do you have a Plan B in case of strikes at a port? Can you jump to a sea/air solution, and do you have the budget to move via air if the sea is not an option? Can you move more quantity when the rates/space is good? How many freight providers are you talking to? These types of situations can be raised at any time so you must have ready solutions for such situations.

7.) Isolate Troubled Suppliers

By suppliers, we mean factories/manufacturers where you source from or with whom you work. If you measure their activity, and they do not serve you on time so you can isolate who is not meeting their dates. Once you highlight issues and you find delay and laziness, you can make decisions to improve your partners before having any trouble in your operations.

8.) Select a Carrier That Matches With Your Network

You also should include a carrier or two. All carriers or freight forwarders are different. Some carriers require containers in specific areas, whereas some are not interested. Some have space, and some do not. This is where using a freight forwarder is the key to more choice versus signing with one carrier. Extra freight forwarders should be on your list because in the logistics business, at any time you may face a shortage of freight forwarders.

9.) Cost Average for Each Segment

Generally, you cannot just go for the cheapest rate, as cheap can cost you in the long run. If you research the market from cheap to expensive and then budget for expensive, you can push for a reduction. Sometimes, to secure the space, the rate has to be higher. Know your needs.

Conclusion:

Ultimately, it is up to you to know your supply chain and make it the best e-commerce shipping solution. By creating a custom supply chain strategy, you can streamline your process, addressing your most vital issues and concerns while preparing for the unexpected. 6G logistics provides eternal supply chain solutions for your e-commerce businesses. Connect now for your shipping solutions.

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