By Ethelbert Obinna Umeh
Distributors, retailers and suppliers are highly focused on reducing costs and driving efficiencies into their businesses. Smart retailersare making huge investments through retail businesses just in a matter of months.
Benefits of supply chain management
There are tens of thousands of retail supply chain technology. Supply chain simply put, comprises a company’s products, a comprehensive details about the company, how the money moves from one section to another, its suppliers as well as customers.
A company will gain lots of benefits when it manages its supplies effectively and efficiently. It will deliver the right product to the right people, at the right time and at the right operational cost without much stress.
High inventories, poor forecasting, being out of stock and a broken supply chain will have a negative impact on the day to day activities of your business. Too much inventory is one of the worst things that can damage any business.
Five fundamental success key factors
· It is good to promise only the services you can deliver comfortably. Don’t promise more than you can actually deliver; don’t be carried away with overconfidence. Sometimes, overconfidence kills businesses. Make sure that all supply chain projects are understood and committed and have clearly defined goals and objectives.
If you are in aviation sector, try the best you can to learn the importance of supply chain management. It will help you to move from where you are right now to an amazing level. That is just the secret.
· Ensure you addressed all the needs of the people from the outset. Keep in mind that those affected by the project are properly informed, and that they are ever willing to commit to the change. Also understand that knowledge transfer (education), new skills and behavioural change (training) will be viewed as part of the project.
· Seduce your team and business associates with the elegance of the technology solution. Every participant should be motivated. There should be penalties or rewards, budget cycles, vendor contracts, bonuses occasionally to those involved in the retail supply chain.
· Make sure that vendors understand your business terms and conditions, and are willing to sell and implement the rollout. Give them the opportunity of sharing part of the risks and gains of your business.
· You have already taken time to ensure that solution works perfectly well within the system. You can’t just afford to change it. The proposed solution must fully integrate and fit with the already existing system. Ensure you are offering real decision making information.
Surely, these 5 key success factors will really help those that are currently planning and implementing their next supply chain.
Statistics show that it has really helped thousands of people overtime, and it will surely help you today.
Life is designed in such way that you must start from somewhere. You must understand the importance of supply chain management. Kindly give it a trial. We are assuring you that you will never regret it in any way.