As mid-January approaches, many of the New Year’s resolutions we made ourselves are no doubt already forgotten. However, if you want to take your business forward, you simply cannot afford to ignore your supply chain goals!
To help you get on right track to achieve your business objectives in 2019, we have heightened 3 top supply chain improvements projects to help you gain greater control over your inventory, and ultimately, maximise customer satisfaction. Proven to help reduce inventory cost and increase the efficiency of supply chain operations, these projects can be implemented today: After all, there is no time like the present!
Project 1 - Work out your priorities: Utilise ABC analysis
One of the main causes of obsolescence (and for that matter, excessive inventory in general) is that businesses spend far too much time focusing on the wrong items. Through carrying out a comprehensive ABC analysis, you can identify which items have the greatest impact on your business thus focus your attention accordingly. Through utilising insights from this analysis, you can begin to put in place specific strategies to improve the performance of your entire assortment.
Project 2 - Teamwork: Time to collaborate with your suppliers
Even for businesses with the most efficient of internal operations, finding ways to work more effectively with suppliers can unlock hugely lucrative performance improvement opportunities. Given that minimum order quantities, lead times and even reliability of your supplier all have a major impact on your inventory, building stronger ties with supply chain patterns should be seen as a priority.
Project 3 - Out with the old: shred your obsolete stock
Eliminating waste takes great courage. While, there is no question that holding high levels of obsolete stock is bad for business, removing these items from your operation is often easier said than done.