How to Minimize Supply Chain Lead Times
Convenience is something that customers strive for in today’s society. With the recent COVID-19 pandemic keeping customer outings limited, the supply chain industry is feeling the pressure for lead times. Having extensive lead times can be costly to your company with returns and covering additional shipping. There are several ways to minimize supply chain lead times, maintaining a level of accuracy and efficiency.
Embrace Certain Vendors and Shippers
As important as customers are, vendors, shippers, and packers for your orders are just as essential. In order to maintain accuracy for supplies, consolidate your vendors and shippers to the minimum. Consolidation will allow most of your supplies to ship together and maintain an accurate lead time for orders. The vendors and shippers that you utilize for your orders should be domestic. Utilizing foreign vendors, shippers and packers require longer lead times as these items have to get to the home country before delivery can be finalized. Policies vary in foreign countries.
Knowing what to expect is critical for all parties involved. Your vendors and suppliers need an accurate forecast of what you are expecting so that it can be readily available and minimize overall lead time. The data that you provide to them should reflect your current sales and what you are experiencing. In the data you provide, trends of supplies that are unusually high should also be available. This helps them have the supplies ready when orders begin.
Allow Incentive Options
Suppliers will often work around their products and supply those clients that offer incentives first and are reliable. For expedited delivery and faster lead times, offer incentives and your loyalty to these suppliers. As new projects develop, you are able to give them insight into your supply needs and get ahead of the competition. This will benefit your overall lead time with your customers and establish stable and sound relationships for future orders.
Do you need new ways to minimize your supply chain lead times? Our software is designed to provide you with the data you need. Contact our team today for more information on our services. We are ready to hear from you.