Setting Up Your Supply Chain Strategy

When you are part of a supply chain or are in charge of managing one, it is important to have an effective supply chain strategy by which you perform all transactions between each link in the chain. What are the important aspects of the supply chain strategy that you should consider in putting together a control system?

Who are all the parties?

In any supply chain, you’ll have several links, all of whom must be satisfied with the outcome of their own individual transactions. None of them are concerned with what happened prior to their link in the chain, and none care nearly as much about the transactions that take place later down the line, as long as clients are happy. Therefore, it is your job to know who is being dealt with at which stage of the game, and you have to be certain that all are content with the proceedings. That includes the manufacturer, the supply house, the representatives, the distributors, the transportation agents, and the end users.

What is the time frame for completion?

Of course, your supply chain strategy has to have a time management card in the deck. Everyone at each stage wants prompt service, and this usually means that they need their supplies “yesterday”. It is your job to route out a strategy that delivers everything in a timely, fast, efficient manner while maintaining quality of products and services. Building a precise schedule that all parties adhere to is essential in creating a regimental process that doesn’t crack under pressure. In order for that to succeed, however, your tightly planned schedule must also have a small amount of wiggle room for extenuating circumstances.

Packaging, labeling, and shipment must be accurate.

There are several areas in which delivery could go wrong, causing problems with the next link in the chain. All product labeling and packaging must be clear and concise, and the process of creating these packages and labels must be carefully adhered to in order to assure that there are no mislabels or improper packaging leading to the shipment of the wrong product to the wrong source. Computerization of this process will eliminate some danger, but human error can always occur. It is best to have a process in place of double- and triple-checking each item that is being shipped to reassure that nothing is incorrect.

Tracking the flow of supplies down the chain is vital.

Only tracking the products to find out if your scheduling requirements are being met and all links in the chain are satisfied with their service will tell you if your supply chain strategy has been successful. Getting feedback from all sources from the top of the chain to the bottom will assist you in knowing where adjustments must be made to increase efficiency and time management. It will also help you to identify which suppliers are the most proficient in meeting your delivery needs and time constraints so that you can narrow down the number of people with which you must consult in order to keep the flow of supplies moving swiftly.