Recently, it has felt like there has been a never-ending disruption to supply chains – Brexit, Covid-19, and an HGV driver shortage are just a few examples. That is why it is more important than ever to have a dynamic supply chain. Being able to flex and deal with issues is key to remaining profitable and keeping customers happy.
But creating a dynamic supply chain is no easy task. Companies can have complex supply chains with no clear area of where to start making improvements. That is why we are sharing some top tips for a dynamic supply chain.
Utilise Your Data
A modern business will rely on systems for different areas of their business such as an ERP, WMS, and S&OP. All these systems will collect an array of valuable data about your company that can be used to create a dynamic supply chain.
By using both real-time and historical data, you can use powerful analytical tools to work out where you can save on costs. Avoid costly overstocks or shortages of raw materials by having an accurate picture of what you need and when.
For information rich companies, utilising your data more efficiently can help you create a dynamic supply chain that responds in real time to the latest information.
The pace of technological change is staggering and has made it vital to be agile in operations. Changes in regulations or consumer demands can prove a headache for a supply chain that is not built to embrace change.
To avoid this, you need a culture of embracing change. This should be across People, Processes, and Systems to be the most effective. Systems that can adapt to changing business needs are vital in a dynamic supply chain to avoid disruption at key times.
Get Ahead of Trends
If your company can spot a trend early and fulfil that trend for customers, it can be a very profitable endeavour. Spotting these trends is no easy task but modern systems can look at a range of sources to notice things that humans miss. Data like POS records and social media information can be collected and analysed to create visualisations of opportunities for your business.
Using this data can help you create a dynamic supply chain by responding to trends before competitors catch on. Making changes early will allow you to capitalise on the opportunity and boost your profitability.
Always Be Improving
For a supply chain to be dynamic you must subscribe to the “always be improving” mentality. Do not fall into the rap of optimising once and believing that is enough.
You want to use continuous improvement techniques and always be identifying where vulnerabilities exist and get them fixed. Identifying and correcting these early, helps to stop wider business disruption which can be incredibly costly.
Conclusion to Top Tips for a Dynamic Supply Chain
To have a dynamic supply chain there are a few different areas you should look at. First, utilising data that exists within your business is vital to control costs. Second, be willing to embrace change across People, Processes, and Systems to allow you to be agile in your operations. Third, try to get ahead of trends by using the latest technology to collect and analyse data that competitors might be missing. Finally, you should have an “always be improving” mentality towards your supply chain to keep it dynamic.
To get a quick start on making your supply chain more dynamic, contact our team of experts today.