With the pandemic in the picture, we saw a list of supply chain disruptions and companies proved their corporate values and purpose by discovering solutions for all kinds of supply chain issues in innovative manners.
This is where the conception of consumers, investors, governments, and communities played key importance because ultimately, they all judged companies on how they responded to this period of consistent disruptions.
Now, in order for businesses to respond to supply chain inadequacies, here are a few steps noted by industry experts and supply chain practitioners that bring the best solutions in the industry:
Redesign Supply Chain
A great material strategy for you would be close-in product sources such as local or near-shore sources. This helps you in sourcing quickly and conveniently and keeps your production on track in times where you can’t source materials from a different city, state, or country.
Reassess Supply Chain Risks & Plan Mitigation Strategies
This is now like the most common thing that enterprises are doing since the pandemic. It’s an effective way to question yourself about what things in your operations are out-dated and will need to change. It helps you come up with new strategies and gives you a chance to plan for all kinds of risks in the supply chain.
Your supply chain management team has to hedge the pricing and availability of everything you need to make and ship your products and services. This strategy helps an organization in managing volatile times while simultaneously mitigating risks and improving profitability.
Introduce New/Revised Tools
It’s time for you to introduce the new tools. Whether it’s analytics, a new planning tool or any other such innovation that helps you understanding probabilities and risk mitigation techniques.
Interesting Read: 5 Tips to Streamline Your Supply Chain
Evaluate Your Ability to Maintain Full Production Capacity
Find yourself a solution that can assist your ERP Production Scheduling with suggestions for production plans that are possible and not just what customers expect out of you. Yes, this is not exactly ideal but is possibly what you need to keep your plant open, people productive, etc.
Add Supply Chain Status Info
What you exactly need is a solution that can tell you more that just when people log into your portal. This is why you’ll need to look for an updated portal like Supplymint that helps you provide the current status of all your orders in the supply chain.
Manually Re-assess Safety Stock Levels
Thanks to the pandemic and other natural disasters that we know we shall never entirely rely on predictions. As a result, every raw material/component shall be assessed on a monthly or weekly basis and the safety stock levels must be adjusted accordingly. It’s also true that a lot of firms hate to tie up capital on inventory but it makes sense to do so when shortages, disruptions and inflation are apparent. It’s a good time to acquire safety stock.
Recommended Read: How is Data Governance Important for Supply Chains?