6 SUPPLY CHAIN STRATEGIES TO KEEP YOUR EYE ON IN 2020
Date: 2 n d June . 2020 | Version V1.0
End-to-End Logistics Innovation Partner www.dilx.co
Companies today actively leverage the supply chain to achieve greater market share and ace the competition. Adapting to the new technology and investing in process upgrade indicate that supply chain excellence holds a prominent place in your business strategy. The current socio-economic and market dynamics are more complex than ever and to act upon accordingly in a demand-driven supply chain, planning is essential. Considering various processes such as re-examining of business continuity as well as new sourcing strategies we came up with six supply chain solutions designed to help enterprises thrive in the current environment.
A DEMAND-DRIVEN STRATEGY: The cloud, Artificial Intelligence tech and Internet of Things play a major role in the development of supply chains. Companies are actively adopting the upcoming technology, driving an advanced level of predictive capability and planning accuracy. The demand-driven planning and operating model based on real-time demand insights continue to mature as supply chain management teams inculcate more and more advances and powerful digital tools. Such an approach enables the teams to make better decisions, quicker actions and adjust the supply chains automatically based on real-time insights to match expected demand.
AGILE SUPPLY CHAIN PLANNING With the amount of unpredictability and potential risks involved in the supply chain process an agile and adaptive supply chain is essential. Companies today are focusing more on aligning with manufacturing plans, driving greater operational speed and flexibility. Despite the efforts, a fully integrated agile supply chain is still beyond reach for some companies. The problem might be the ample amount of data and extracting the right information and analytics to execute the right decisions in real-time. The newly introduced cloud-based platforms that link various processes from finances to business execution activities such as procurement, manufacturing, and inventory management are the new face of the solution. For the first time, companies can create a zero-latency plan-to-produce process, allowing them to act faster and adapt seamlessly to the dynamics of their markets.
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OPTIMIZE PRODUCT DESIGN AND MANUFACTURING The time when product development and supply chain were two different functions are coming to an end. The new collaborative systems and the procurement practices help product developers to source components upfront based on their availability, quality and cost! For instance, the competition in the mobile phone market is driving manufacturers to develop and launch new models every year. Increasingly the only way to do this is by merging design teams with supply-chain planners on a single (usually cloud-based) platform.
ALIGN YOUR SUPPLY CHAIN WITH BUSINESS GOALS Risks for business have increased significantly in a recent couple of years. From Brexit to the current COVID19 pandemic, leaders are facing a growing array of market uncertainties. Such unforeseen uncertainties are one of the main reasons why companies need to integrate their tactical operations planning along with strategic budget and forecasting efforts. The aim is to draw a planning capability that translates business priorities and risks into a set of on-the-ground execution tasks that are continually updated to reflect changing market conditions.
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Crafting such an efficient closed-loop from planning to execution to performance management will make the process more agile.
TAKE A SUSTAINABLE APPROACH Sustainability lately has been the topmost priority to focus on for every industry! Supply-chain practices have a sizable impact on environmental health considering carbon emissions to industrial waste along with pollution. Today, companies are inculcating various strategies to opt for a sustainable approach. The aim is to develop practices that improve key measures of sustainability such as energy usage, recycling efforts and carbon footprint. Companies can invest in new technologies to ensure environmentally safe practices.
KEEP UP WITH THE LATEST TECHNOLOGY Businesses need some buffer when it comes to unexpected shifts in demand. The new and improved technology empowers businesses by creating a more reliable supply network. With today’s global trade volatility and ongoing tariff wars, it’s essential to make the right decisions about where to source materials, make products, and deliver goods in order to minimize costs and ensure compliance. Supply chain strategies mean much more than cost efficiencies and economic conveniences. All these strategies can help you ace the market, it is the right business partner that empowers you right. Right growth strategy partner is the need of the hour and can save your day!
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Head Office Maria Montessorilaan 5, 2719 DB Zoetermeer, The Netherlands Phone: +31 79 320 0980 E-mail: info@dilx.co www.dilx.co
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| 6 SUPPLY CHAIN STRATEGIES TO KEEP YOUR EYE ON IN 2020
WWW.DILX.CO