With new challenges springing up at every turn, companies are constantly looking to scale up the efficiency of their supply chains yet responsiveness or the ability to respond swiftly & positively to change remains a challenge.
Consider the current case of the COVID-19 pandemic. Research indicates that 94% of Fortune 1000 companies are experiencing supply chain disruptions as a result of complex, poorly integrated supply chains with disparate systems. These key perpetrators of low responsiveness will effectuate a potential loss of trillions of dollars in global revenue and affect countless people whose livelihoods hang in the balance.
The pandemic has accelerated the pace at which chief supply chain officers are realising the dire need to embrace an integrated approach to supply chain management. Without it, any solution for a current or future problem might exist but it shall continue to remain elusive.
Benefits of an integrated supply chain
A well-connected, close-knit supply chain managed by an able 3PL provider is highly responsive and offers a slew of advantages:
An integrated supply chain streamlines all your logistics operations - from warehousing & transportation to product customisation, packaging and omnichannel fulfilment - and presents a single, unified view of the entire system while eliminating any knots or potential sources of hiccups. It gradually strengthens the efficiency and cost-effectiveness of your efforts and can also be leveraged to expand into new markets, make way for multiple sales channels and offer more value-added services (VAS).
An integrated supply chain enables greater transparency, visibility and predictability in the system to significantly improve the level of customer-centricity in your organisation. It makes you agile enough to meet business fluctuations like a sudden shift in consumption patterns, seasonal demands and other varying needs of the market with great ease. With extensible space, flexible staffing, state-of-the-art equipment and multiple transportation options, an integrated system enables you to scale up or down as per need.
With the rise of e-commerce, customers are demanding swifter, accurate and on-demand deliveries which can be commercially viable only when the associated logistics are tightly managed. An integrated supply chain can help you not only control costs but also reduce the capital expenditure on warehousing, transportation, manpower & training, equipment as well as technology. You can also optimise your production levels and shun inventory carrying costs by following a build-to-order approach as opposed to a build-to-stock approach.
How you can build a robust & resilient integrated supply chain
If you wish to embrace an integrated approach to supply chain management, consider the following key points:
Disruptions will continue to affect supply chains, today as well as in the future. A complex & fragmented one might not be able to handle the hit and break down altogether, as has been true for many organisations during the COVID-19 pandemic. An integrated approach that utilises the best industry practices & advanced technologies is the best way forward. It will help you build tightly-knit and highly-responsive supply chains that can endure multiple stresses and continue to stay efficient & deliver value in the long term.
Want to streamline your supply chain operations and access the leading-edge advantages an integrated system can offer? Get in touch with our integrated logistics experts today. Drop an email to firstname.lastname@example.org.
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