Tag: Supply Chain Management Process

supply chain management

Increasing Business Profit Levels With the Aid of Supply Chain Management

SpendEdge, a leading provider of supply chain management solutions, has announced the completion of their latest newsletter on increasing business profit levels with the aid of supply chain management. The article offers detailed insights into the benefits of supply chain management solution reaped by our clients in different sectors. The article also highlights how improving supply chain management helped companies to reduce inventory costs, create value-added processes, and address supply chain risks. 

Increasing Bottom-line Savings on a Sustained Basis

With the escalating competition, increasing asset utilization and reducing manufacturing lead times has become a key objective for CPG companies. The client, a CPG company in Europe leveraged our expertise to revamp their supply chain management process. Their existing process was inefficient in terms of supply chain visibility and resulting in increased error rates due to lost invoices.

During the course of this engagement, our analysts employed a multi-tier supply chain management process. They offered detailed insights into inventory and point-of-sale (POS) data and empowered the client to proactively manage volatile demand. The solution thus helped the client to capture significant bottom-line benefits on a sustained basis.

Reducing Supply Chain Costs by Centralizing Logistics Network

Formulating a centralized logistics network for procurement activities has always been a challenge for companies. One of our clients, a heavy equipment manufacturer was facing similar challenges and wanted to streamline their supplier and carrier services for enhanced performance and accountability.  They wanted to minimize category spend and consolidate their supply base to address the rising demands from global markets.

Our supply chain management experts conducted a comprehensive research to consolidate metrics across various sectors of the supply chain. The solutions offered helped the client to centralize their logistics operations and reduce supply chain costs.

Performing Supply Chain Analysis to Create New Value-added Processes

Managing operations at the global level presents a myriad of challenges for logistics and shipping managers. A CPG company was finding it difficult to reduce inventory costs, improve forecasts, and schedule events. They wanted to improve their logistics and supply chain management process to obtain end-to-end ownership of global shipments by improving supply chain visibility.

The logistics and supply chain management solution offered by our experts helped the client to perform supply chain analysis and address redundancies in the supply chain while creating new value-added processes. Additionally, the improved logistics and supply chain management process increased transportation management efficiency and tracked just-in-time delivery metrics.

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Busting 4 Common Myths on Supply Chain Management

Global supply chain management has evolved drastically over the years. Technology and innovations are the major contributors in fueling the efficiency and flexibility of supply chain processes across various industries. However, in this era of digitized and globalized business, keeping up with the speed of changes has become more difficult than ever before. As the landscape evolves, supply chains must evolve in order to adapt to stay ahead of the curve. A company’s ability to manage complexity will greatly define how well they can compete and succeed.

Although the importance of supply chain management is quite evident for modern economies, there are sContact USeveral myths and misconceptions that plague the practice. Let’s examine some of the most persistent and stubborn supply chain management myths and carry out a reality check for each of them:

Myth #1:  Supply chain management is all about purchasing

Associating the supply chain management process with only purchasing functions is clearly an outdated outlook that ignores the strategic role that SCM plays for modern digital enterprises. Rather, the supply chain must involve greater flexibility, enhanced strategic awareness, and stronger entrepreneurial thinking. Today’s supply chain professionals are also looking at mastering several other key functions that impact SCM, including customer experience, systems thinking, and innovation.

Myth #2: Investing in SCM applications will generate rapid returns

Pragmatic application of supply chain management products in real-world business problems will undoubtedly deliver good returns. However, poorly specified implementation and investment in SCM can result in a cycle of continued investments to support unrealized but promised benefits. Companies must exercise focus on delivery, quality, and time targets. Effective and detailed planning is an essential element of an effective global supply chain management process.

Myth #3: Right forecasting can eliminate supply chain issues

Considering forecast accuracy as the sole cause of issues is dangerous and stems from two main misconceptions. Firstly, forecast accuracy should not be considered as an end in itself. Instead, it is one contributor to outcomes of the supply chain process that needs to be managed to deliver the desired results. Secondly, despite all the best attempts, forecasts in most cases will not be completely correct. It’s much more important for enterprises to recognize this fact and manage an understood level of risk than to spend too much effort in improving forecasting when it may not translate to better outcomes.request proposal

 Myth #4: Lesser inventories are always better

Controlling costs might be the major agenda for most supply chain managers. Consequently, they try to keep the inventory as low as possible. But on the flip side, this could greatly increase their financial risk. While it’s true that holding a high level of inventory ties up business funds that could rather be used in other areas. However, it is also important to remember that high inventory isn’t always a bad thing — and often proves to be a good sign of growth ahead. For instance, it is remarkable if an organization increases inventories because it is confident about the economy and forecasts higher demand. Furthermore, when comparing the extremes of a stockout versus and holding more inventory than you need, the former is definitely worse. When demand cannot be fulfilled, customers will be disappointed and the risk of alienating them and losing them to competitors are higher.


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SpendEdge Case Study: Supply Chain Management for a Leading Organic Farming Industry Client

Project Background

A client from the organic farming industry client wanted to cover sourcing, execute, monitor, and analyze the logistics services of their firm and understand the importance of supply management and its benefits to the organization.

To help the organic farming industry client, SpendEdge provided end-to-end visibility across the company’s supply chain.

SpendEdge Advantage

As a global strategic partner for leading Fortune 500 firms and other leading companies across industries, SpendEdge’s strength lies in delivering robust real-time procurement market intelligence solutions that help sourcing and procurement professionals to make informed decisions.

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Client Profile

The company is a leading organic farming industry player helping to enhance global food safety by enabling millions of farmers to make better use of available resources. The company’s members are working in over 60 countries to understand and transform how crops are grown organically. Also, the company is committed to saving the environment from degradation but improving biodiversityContact US and revitalizing.

Predicaments

One of the primary objectives of the organic farming company was to blend the existing landscape of different local and regional solutions into a single common platform that provides total visibility and facilitates further supply chain management.

Solutions Delivered

SpendEdge provided solutions based on the four pillars covering the sourcing, execution, monitoring, and analysis of logistics services while providing end-to-end visibility across the supply chain.

To know more about this engagement, request a proposal or continue reading to know about the importance of supply chain management for your business.

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