Image source: Rawpixel | Top 5 Benefits of Efficient Supply Chain Management in 2024

The aim and ambition of any manager or business owner is to be organized. Businesses that are able to conduct their operations in a systematic way stand a far better chance of becoming successful in the competitive landscape. In this regard, having a ready and organized supply chain is crucial.

It is worthwhile to pay attention to and strive for excellence in this field even if your business or place of employment is just getting started or has a limited volume of logistics-related activities. We’ll discover the primary benefits of effectively managing the supply chain in this post.

Read also: Logistics in E-commerce: Challenges, Importance and Best Practices

Benefits of Efficient Supply Chain Management

Faster processes

Ever heard the saying “time is money”? It becomes evident when we work with the supply chain. Fast delivery is valued by clients and business associates for both contracted services and purchased goods.

Because of this, organizing your supply chain can make your company more appealing to customers by accelerating the manufacturing and distribution of your goods.

Additionally, a well-organized company guards against unforeseen circumstances that can cause your entire production line or service delivery process to lag, ensuring the satisfaction of your customers and partners.

Cost reduction

While generating new business and attracting new clients is undoubtedly important, cutting expenses is also a smart move to improve the financial stability of your business. In this context, an effective supply chain organization might be beneficial.

You can identify which of the company’s present processes are generating needless costs with the help of good management. In order to provide more optimization and cost reduction so that the complete chain is managed, identification is the first step in seeking improvement and cost reduction in connection to these activities.

Increase in production capacity

As was previously mentioned, a business that establishes effective supply chain management is able to fulfill delivery obligations, guaranteeing customer satisfaction. As a result, repeat business and increased demand for goods and services are generated.

A well-structured supply chain can also optimize your company’s manufacturing process, allowing your staff to produce more and serve a wider audience or handle last-minute orders, which can generate additional revenue.

Stock control

Having an overabundance of inventory is frequently a bad indicator, particularly if a sizable portion of it remains stagnant. This indicates that the business is overspending on pointless goods, which could significantly raise its costs. This post contains six suggestions to assist you and your business manage your inventory correctly and prevent blunders.

The supply chain’s structure and management allow for the observation of the quantity of products that need to be kept in stock in order for the business to be able to operate and seize market opportunities without having to buy or hold excessive amounts of inventory.

Problems solution

Problems are unpleasant, yet unanticipated things do happen. The effects of an unforeseen circumstance on your organization, along with the time and effort required to rectify it, can result in substantial losses for the company.

In addition to being able to take action to prevent further damage to other parts of your supply chain, having all processes properly organized will enable you to quickly determine the underlying source of these issues and address them.

Count on the ideal partner – 3PL Links Inc.

Now that you are aware of the primary benefits of organizing and preparing every aspect of your business’s supply chain, how about seeking the support of a business partner to assist you in this endeavor? Rely on a business that is well-known in the logistics and supply chain industry! With over 25 years of experience, 3PL Links can assist you in streamlining your daily logistics and commercial operations! Please contact us to find out more about our company and offerings.

Image source: Rawpixel | The Future of Supply Chain: Top 5 Supply Chain Trends in 2024

Managing the market’s intricacies will call for a proactive approach that goes beyond simply responding to demands as the halfway point of 2024 draws near. It will be essential to prepare for and welcome them, particularly in the context of the difficult supply chain and procurement environments.

If the pandemic has taught us anything, it is that businesses must invest in more transparent, flexible, and sustainable processes and optimize resilience in order to assure corporate success and continuity. Although reaching this goal is not easy, it is feasible to improve service levels, boost income, and save expenses by using technology and effective supply chain management.

In the supply chain domain, technology functions similar to Prometheus’ fire, shedding light on management and increasing cost transparency and operational efficiency. It’s not by accident that 82% of procurement leaders surveyed for the Gartner research “Future Supply Chains: Resilience, Agility, Sustainability & Technology” in 2023 stated they want to make significant investments in technology over the next five years.

This investment is motivated by several factors, such as:

• The need to boost productivity and efficiency: Procurement managers may use technology to automate processes, make better decisions, and cut expenses.
• Enhanced supply chain visibility and control: Procurement managers can monitor the movement of materials and information, spot hazards, and pinpoint areas for improvement with the use of disruptive technologies.
• Fulfilling sustainability demands: procurement specialists can lessen the supply chain’s environmental impact with the use of technology.

However, technology alone is not sufficient. In order to adapt, innovate, and integrate new opportunities and tactics, as well as to ensure the successful and long-lasting implementation of such solutions, the human aspect will be essential. We’ll talk about several trends for 2024 in this post, with tips you can use for your company. The times have changed, and to avoid falling behind, you must adapt to the new reality.

Top 5 Supply Chain Trends in 2024

1. Increasing focus on process automation

The pursuit of accuracy and efficiency in the supply chain is closely associated with process automation, which uses technology to carry out operations without the need for direct human interaction. Disruptive technologies like machine learning will be enhanced and integrated as a strategic requirement in 2024 for businesses trying to streamline operations, cut expenses, and obtain a competitive edge.

Automation in this context is greatly aided by system integration, which enables effective communication between various software programs. Processes are accelerated, increased efficiency is brought about, and operational openness and compliance are encouraged.

Moreover, investing in automation technologies increases productivity, improves process precision, lowers the possibility of errors, and eliminates repetitious work, freeing up human resources for more strategic and valuable work.

2. Agile and responsive management

The pandemic has made it clear that the dynamic issues faced by supply chains cannot be adequately addressed by traditional approaches to risk management. Sustaining operational continuity will need the capacity to react quickly to risks.

Due to the increased susceptibility of many industries to natural disasters, geopolitical conflicts, and economic instability in recent years, the procurement sector must be prepared for unanticipated events, minimize any negative effects from the outside world, and maintain the resilience necessary to maintain the integrity of its supply chains.

3. Data: the new oil

While the analogy between data and oil is not new, data’s position at the center of decision-making is undeniable since it plays a critical strategic role in the digital supply chain management process.

Image source: Pexels | The Future of Supply Chain: Top 5 Supply Chain Trends in 2024

Data analysis is expected to play a central role in company decisions by 2024, leveraging historical performance to forecast future circumstances and guide decisions. Structured data analysis skills are essential for improving operational effectiveness as well as resilience and agility in a highly competitive and dynamic company environment.

4. The power of collaboration

In 2024, supplier and buyer cooperation will become even more essential in the networked supply chain ecosystem. It’s feasible to predict market dynamics and volatility with good communication.

In order to ensure effective communication with suppliers, partnerships between the different supply chain participants and secure information exchange will be required. This means that information about requests, unanticipated events, and forecasts will be shared via integrated and moral systems, creating a setting that is favorable to all the links.

5. The human connection is transforming the service layer

The success of supply chains will always depend on human capital, even in the face of technological advancement. Investing in resources that combine technology and human aspects is the key to improved efficiency, agility, and innovative solutions to the difficulties facing the industry.

According to predictions, in 2024, one cannot undervalue the importance of human creativity, adaptability, and inventiveness in the age of disruptive technology. In other words, striking the correct balance between technology and human connection is vital for achieving effective supply chain management.

Businesses that manage their supply chains in line with these digital and behavioral trends in 2024 will be well-positioned to meet the demands of the global market and differentiate themselves in a constantly changing ecosystem. Because of this, the procurement sector requires experts who can take the initiative now more than ever in this highly disruptive environment.

Did you find this article interesting? Make sure you distribute to your network. Let’s work together to transform the supply chain and logistics sectors with 3PL Links!

Image source: Flickr | How to Protect Supply Chain from Cyber Attacks

The management of data intelligence in the supply chain presents an enormous challenge to those involved. The amount, velocity, and sharing of data all influence how it is received and evaluated, and these changes intensify with the consolidation of digital transformation.

The supply chain depends more and more on IT systems to ensure information flow and security as it develops. However, there is a “but” to this tale.

Global IT professionals have faced challenges related to data decentralization. People who operate in the supply chain ultimately communicate through alternative channels, even in the presence of dependable systems, applications, and other tools at their disposal.

Read also: Supply Chain Risk Management: Top 5 Supply Chain Risks to Watch Out For

Supply chain risk management

Moreover, a lot of businesses manage everything via network-accessible spreadsheets and other documents, frequently without any security. In addition to making data analysis more difficult, using parallel platforms—which are not approved by the company’s IT department—leaves data entirely vulnerable to cybercriminals.

The most frequent conversation these days is about someone breaking into their smartphone, system, or WhatsApp account. Keep in mind that equipment can get lost or broken; if the data is exclusively on the device, recovering it will be extremely difficult.

However, it must be acknowledged that there are other weak links as well. Several businesses continue to be reluctant to spend money on more modern features and security measures.

The good news is that the technology industry provides specific products for varying business sizes, guaranteeing security for those who are ready to invest within their means.

More practicality and safety

The majority of supply chain employees choose to use a resource they are already familiar with due to practicality rather than learning how to use a new application or system, which, let’s be honest, doesn’t always function as planned.

However, supply chain-specific apps and systems, along with the diligent work of authorized tech providers, will ensure the security of your company’s data as well as that of the entire ecosystem of businesses.

Relationship with suppliers

Every access point needs to take information security into account. Thus far, we have discussed the internal operations of the organization. However, are you aware of how secure the supply chain’s providers are?

A business transmits and receives vast amounts of data, therefore it must maintain partnerships with accounting and legal departments, infrastructure providers, software providers, input providers, and many more. not only for your business but also for its clients and associates.

As a result, you must exercise extreme caution when selecting each partner, making sure they have sufficient security procedures and resources in place.

What happens in the event of a data leak?

For instance, your business might be held accountable if someone is hacked online or if your supplier experiences a data leak. This might be particularly problematic if the leak impacts the data of the final customer.

In light of this, it is best to set guidelines for hiring suppliers and partners, including specific requirements on data handling procedures, compliance with the General Data Protection Law (LGPD), security assurances, and information protection resources used, among other things.

Simply stated, if your business is equipped with security resources, make sure that everyone else in the supply chain feels the same level of accountability.

Count on IT professionals

Individuals responsible for managing the company’s essential operations, which boost profitability, shouldn’t be overburdened with tasks.

So, assign IT specialists to handle the technology and make sure that the best data security procedures are being followed.

IT specialists with experience know which businesses to choose for security, software, and data monitoring solutions.

These workers need resources and the company’s approval in order to carry out their duties effectively. Micromanagement just causes internal company operations to lag.

Our personal preference for cybersecurity and other IT-related duties is Dygital9. Every IT-related job from 3PL Links has been turned over to them, and they take care of everything to protect our esteemed data from intrusions.

How to protect data in supply chain enterprises?

Cybercriminals are skilled at identifying flaws in systems, and their attacks have the power to shut down businesses and steal data.

Given the increased scalability of supply chain enterprises, data handling needs to be even more secure.

For businesses lacking data security expertise, the following questions may help guide the decision:

1. Does the solution provider have a good reputation in the market?
2. Do they have market experience?
3. Do they serve companies of different sizes?
4. Do they have plans that can meet your current needs and future growth?
5. Do they work with certificates suitable for data transit?

For 3PL Links, data security is a serious matter and we seek to align ourselves with international protocols to keep our customers in a protected environment.

Learn how to monitor your supply chain more efficiently

This is a question you may have asked yourself. How can supply chain performance be improved? The solution is frequently not obvious, therefore in this post, we’ll try to make it clear how you may evaluate and boost the efficiency of your company’s supply chain.

Mastering Supply Chain Management KPIs: Your Comprehensive Guide to Success | Image source: Pixabay

What are supply chain management KPIs?

Supply chain management KPIs are the quantitative and qualitative measures that a business monitors to determine whether its production and logistical operations are meeting its performance objectives. Every KPI tracks a different element of your supply chain activities. By periodically gathering data on this KPI, your business can gain visibility into how close you are to meeting your performance benchmarks, where there is room for improvement, and how to structure a more efficient process within the supply chain, preventing waste of materials, time, and money. The most popular supply chain KPIs we’ll discuss are listed below:

1. Perfect order rate;
2. Order fulfillment fee;
3. Freight bill accuracy;
4. Stock turnover;
5. Return on investment (ROI);
6. Supply chain costs;
7. Average delivery time;
8. Customer order cycle time.

However, because there are so many KPIs you can monitor, it is crucial to concentrate on the ones that are the most significant for your company because each KPI will differ depending on the market sector, customer wants, and business challenges of each company.

Read also: 7 Efficient Strategies to Mitigate Risks in the Supply Chain

How to improve your supply chain KPIs?

Tracking your supply chain performance may seem challenging because there are so many crucial supply chain metrics to analyze, but tracking and evaluating KPIs becomes much simpler with the correct tools.

Supply chain management software bundles make tracking metrics simple and uncomplicated by providing real-time visibility into the KPIs that are most important to your company, such as inventory levels, distribution, suppliers, and inventory turnover. The best supply chain analysis software includes tools to assist you in extracting insights from the gathered data as well as analytical dashboards that consolidate and make readily accessible key supply chain metrics and insights.

Additionally, this level of visibility aids businesses in enhancing performance across numerous KPIs. With current data being automatically tracked and easily accessible, you’ll be better able to predict demand and inventory requirements with greater accuracy and pinpoint problem areas with greater speed.

Optimizing your supply chain

Its infrastructure can monitor and enhance KPIs throughout the whole supply chain because it is a technology-focused enabled chain. With the aid of inventory management software, you can remotely manage inventory, keep an eye on important metrics, and maintain inventory control without having to worry about distribution, product lifecycle management, or warehousing.

The information required to calculate ROI can be found through dashboards. After all, it is crucial to understand the return on your investment in order to increase production and keep your business’s revenue. Dashboards also give you visibility into stock levels and turnover.

Quick and accurate order fulfillment services from e-commerce or CRM systems expedite supply chain processes when orders are received without compromising quality. Your order cycle time, fill rate, and perfect order rate all improve as a result, and you can track these metrics using the analytics dashboard.

Supply Chain KPIs FAQ

We’ve broken down some of the most frequently asked questions concerning the key supply chain performance indicators below.

What are the most important supply chain management KPIs?

The on-time delivery rate, fill rate, freight bill accuracy, inventory turnover, return on investment (ROI), gross margin, supply chain costs, average lead time delivery time, damage-free delivery, customer order cycle time, and cash-to-cash cycle time are among the most crucial KPIs in the retail supply chain.

How can you track KPIs?

Platforms for supply chain management that offer thorough analytics dashboards and take into consideration information qualification and quantification can be used to track KPIs.

Do KPIs help with supply chain management?

KPIs aid in supply chain management by monitoring supply chain effectiveness and spotting chances for optimization, with the goal of enhancing and lowering the cost of logistical and operational activities.

How do you measure supply chain performance?

By establishing the KPIs you want to monitor and employing analytical reporting tools to analyze these measures, you can assess the performance of your supply chain.

Did you find this article to be interesting? Keep checking back for more advice from 3PL Links, which offers its clients the most cutting-edge supply chain and logistics solutions available today.

Revolutionizing Global Supply Chain: The Power of Flexible Technologies | Image source: Pixabay

When it comes to the acquisition, sale, or transit of goods, inputs, and services between countries, businesses, and professionals that use software, strategies, processes, and best practices in international logistics continue to face challenges. Such constraints date back to the Covid-19 epidemic and are still present today due to political turmoil and the wars in Ukraine and Russia, which still involve the US and China.

Many businesses seek to diversify their suppliers of goods, inputs, and services as well as their partners who assist in changing processes, procedures, and all business-related technology for these and other reasons. As a result, businesses in nation A that previously purchased goods from nation B now have to find new suppliers and begin importing goods from nation C, a process that experts have already termed as “reglobalization.”

In light of this, the phrase “global supply chain” is associated with this reglobalization.

What Effect Does the Global Supply Chain Have on the COMEX?

Many organizations, enterprises, and professionals seek beyond their own companies. To prevent disruptions and delays in their own enterprises, they also keep an eye on the operations, procedures, and technologies of their suppliers, clients, and other business partners. The Global Supply Chain is a network of best global logistics practices, software, strategies, and governance norms that connect everything and everyone.

According to a report recently released by Bloomberg, the USA set a record for exports and imports last year, reaching an astounding 73 countries that received exports from North America and imports from 90 nations, totaling US$ 690.6 billion. This gives you an idea of how the Global Supply Chain is one of the cogs that move the world.

Another significant piece of information comes from the Danish shipping giant Maersk, which is known as the “thermometer of global trade” and is in charge of carrying roughly 16% of all containers worldwide. According to the company, sluggish economic development would cause a 2.5% reduction in global container transport volumes in 2023. Because of this, what was once above-average consumption is now sharply changing, and as a result, is considering a restructuring to link and integrate its land, sea, and air activities.

The renowned shipping firm has already begun to implement some steps, such as downsizing ships, increasing air freight services, and creating a network of scattered facilities, to help it manage cargo flows. This entire rearranging of the game pieces supports the concept of reglobalization.

The Influence of Flexible Technologies on Reglobalization in the Global Supply Chain

Some people perceive issues, while others see opportunities. Because the reality is that the current situation provides a fantastic road map for reinvention, this adage from the business world is more true than ever. Determining whether professionals are performing their tasks correctly is one of the major obstacles in the global supply chain, rather than understanding what they should be doing.

In addition to this difficulty, the situation becomes even more complicated when you consider that firms involved in the global supply chain tend to encounter greater volatility in the coming years, causing organizations and leaders to constantly reinvent themselves. It’s crucial to invest quickly and strategically, focusing primarily on technologies and business processes that can adapt to the rise and fall of “global business waves”.

Last but not least, companies that want or need to be in line with this new future essentially need to concentrate on four areas of innovation: commercial; achieving sustainable results; real-time decision-making; and the focus on people.

But how should one go about doing this? Understanding experts, customers, suppliers, and business partners, as well as what expectations to explore to deliver competitive advantages, are among the top priorities for the exclusive innovation plan for the upcoming years. Modern software does not need the infamous and expensive adjustments that are required for businesses that use “each new wave of business” in the global supply chain, making artificial intelligence a powerful companion. Otherwise, investments in these solutions will not lead to significant reglobalization of business.