As the world becomes smaller and supply chains become complex, organizations have created best practices for managing their global supply chains. With the emergence of the global pandemic, business leaders are now looking at optimum supply chain management differently. The supply shock that began at the beginning of 2020 in China resulted in a global shutdown of many a business and exposed the otherwise ignored vulnerabilities of their production planning, inventory and warehouse management, logistics and transportation planning, and overall supply chain management. Short-term trade restrictions and shortages of essentials and medical supplies highlighted the fundamental weaknesses of supply chains. Various factors are responsible for rebuilding a successful and resilient global supply chain while paying extra attention to supply chain visibility. Cash flow along with a steady financial steward is a non-negotiable factor.
The challenge that organizations now face is to make their supply chains agile and resilient without disturbing the equilibrium of the business. Most of the forward-leaning organizations are now trying to build more flexibility by adopting innovations and automation.
In recent years, the frequency of global supply chain disruptions has increased. Request a free pilot to know how to help you resist and survive supply chain disruptions without hampering business operations and efficiency.
Building a Resilient Global Supply Chain in the Post Pandemic World
With newer trade barriers, regulatory restrictions, and other disruptions, global supply chain leaders have to balance resilience and improve supply chain visibility and efficiency to optimize their supply value chain. Here are two most important strategies to build resilient supply chains in the post-pandemic world:
- Inventory and capacity buffers – Extra capacity is the easiest way to improve resilience in underutilized production or inventory over safety stock requirements. However, the challenge lies with the expense of maintaining a buffer capacity. Most of the forward-leaning companies leverage buffer capacity in the form of surge capacity for new launches.
2. Multi-sourcing – Multi-sourcing is an obvious way to mitigate risks. To craft a successful multi-sourcing strategy, organizations must have a sound knowledge of their supplier networks and should be able to categorize suppliers by spending-by-revenue-impact to be ready to face any disruptive event. Diversification can be achieved by awarding business to additional suppliers or working with an existing single- or sole-source supplier that can produce out of several locations.
One of the main reasons for organizations facing supply chain disruptions is the lack of adequate supply chain visibility and resilience. Speak with our experts to know more about leveraging supply chain analytics to improve supply chain visibility and stability for your organization.
Stages of Global Supply Chain Visibility
Lack of end-to-end visibility in the supply value chain continues to be a significant challenge. Complete supply chain visibility allows organizations to access real-time data related to procurement, order process, inventory, delivery, and potential supply chain disruptions. This enables them to gain a clear view of inventory and activity, increase efficiencies, reduce costs, reduce disruption mitigation time and effort, and increase customer loyalty and satisfaction.
The three stages of supply chain visibility are as follows:
Stage 1: Data Visibility
The first goal of supply chain visibility is capturing data, and often businesses fail at capturing the right supply chain data. Steps like manufacturing, warehousing, cross-docking, servicing, and repair must be trakced for not just forward, but reverse logistics as well, in order to gain complete knowledge of business efficiency. Tracking every step across end-to-end operations and supply chain management enables an organization to continuously evaluate and optimize the supply chain network and improve customer satisfaction.
Stage 2: Collaboration
With the advent of globalization, global supply chain networks are becoming multi-supplier to execute and deliver an enhanced customer experience. Organizations often face challenges with the integration of their current systems and multiple suppliers. Collaborating with different suppliers and ensuring real-time accountability across the supply chains can be made more agile to increase efficiency and reduce costs.
Quantzig’s supply chain visibility solutions are enabled by analytics-driven technology, which provides access to real-time supply chain operations data. Request a free proposal to know more about our global supply chain management solutions and how they can benefit your organization.
Stage 3: Synchronization and Orchestration
Supply chain synchronization and orchestration help change from reactive to proactive approaches by intelligently leveraging the organizational data to implement unique supply chain plans and execute the perfect order for customers at the most profitable cost. Synchronization and orchestration are all about putting an organization’s supply chain plan into action to gain optimum efficiency and create the best customer experience.
Quantzig’s end-to-end supply chain visibility solutions support inbound logistics, distribution, returns capabilities in ways that enhance inventory management, reduce total operating costs, and improve cycle times.
Request for more information to know how our supply chain visibility solutions can help your organization address the most complex, pressing challenges of your supply value chain.