Why do you need a Supply Chain Management company?
As discussed your supply chain is made up of all of the suppliers, raw materials, individuals and processes that go into your product and getting it where it needs to go. At each stage and step there are opportunities to save money and streamline the process or conversely for waste and greater expense if it is not properly managed. Further, in today’s market it is imperative that each of these parts reflect your brand and level of quality. A lot of money has been lost to product recalls, lawsuits and bad headlines because of many reasons that you must look out for. Shortages, disruptions and legal issues are just some of the potential occurrences you must allow for, and all of this can cost a great deal of money and effort.
By partnering with a company that already manages supply chains you gain access to all of their experience, manpower and expertise that they have in the field. You will save money and avoid issues in your day to day operations without having to pay out salaries and spend time training your own in house team. Further, you will have the confidence and comfort of knowing that should problems arise in the future they will be taken care of. Between all of this and freedom from bad press and legal actions the saving for your business not just in the short term but over time can be huge, so have a look today at how an effective SCM company can increase your profits today.
How to choose an effective and suitable SCM company
Now you realise how important it is to utilise the skill of a suitable supply management company, it is also essential that you choose the right one. There is a great variety available to partner with around the world, some with certain specialities, some cheaper and all saying they are right for you. Here are a few things to keep in mind when you are researching your potential management company:
- Location, location, location – when thinking about the future as well as the present it is crucial that you pick a company with knowledge and experience everywhere that matters. If you are currently only operating in one region make sure you plan ahead and choose someone who will help you wherever you go. Conversely specialised information and expertise can be a huge asset if you are looking to go to pastures new or focus at home so it is up to you to see who would help you best.
- Variety of services offered – you don’t want to end up with a different company for every step of the supply chain, with further opportunities for delays and expenses. If you can, try and find one that can do the whole thing or at least several parts for you.
- Experience – not only is the region or area they know about important but also what they know about working with a business like yours. Pick a company that has worked with similar products and a company of a similar size and you will know that they have the abilities you need.
- Communication and ease of access – as we have mentioned there are a great deal of possible pitfalls today between suppliers, supplies and the whole chain that could cause damage to your business. It is so imperative that you should have access to every aspect of the process and information about it at all times, though ideally you should also have a company you can trust. The key is to do without guessing and work from a place of knowledge and information.
- A solution that is right for you – different companies and supply chains require different streamlining and solutions so make sure that the company you partner with is open minded and able to pursue a custom plan.
Whether you are starting out or looking to improve your existing supply chain and its management for an established brand make certain your supply chain management company is working with you and for you to save you money, worry and time. Check out Source One today.