Supply chain efficiency is crucial to every business. To increase quality, profit and mitigate risk, companies must adapt their operational strategy in order to boost efficiency from start to finish. The tactics you employ to create a smooth, optimised strategy will differ depending on the industry you work in, but along the supply chain there are multiple ways you can prevent delays to your service whilst retaining the quality of your product.
At VLT Logistics, this is where we thrive.
How to improve supply chain efficiency
1. Improve end-to end-visibility
Supply chain visibility is the ability to track goods, raw materials and parts in transit. The aim is to improve transparency and access to key data for all necessary parties.
If your visibility isn’t up to scratch then it can cost the company significant time and money, particularly within a fast-paced, dynamic business environment. By improving access to your supply chain, key stakeholders within the business will be able to make fast operational decisions if disruption occurs.
At VLT Logistics, we prioritise your access to your supply chain data, meaning you can speak to a member of our team to access the status of your logistics at any time.
2. Automate processes
We believe that person-to-person communication is the benchmark from which successful logistics is built, but automating areas of the process can allow your business to grow whilst keeping costs low.
Automating can improve the efficiency of inventory management, predicting demand and disruption of your service/product, and selection of facilities and suppliers.
3. Don’t leave disruption to chance
Although unexpected issues will arise for any business along the supply chain, by continuing to optimise your process, you can prevent, mitigate and soften the impact of consequent disruption. This ensures optimum efficiency at every stage of the process.
It’s always best practise to:
- Track the supply chain
- Track your inventory
- Continually review supplier performance and quality
- Optimise the data flow of your supply chain
- Encourage modernisation and updated working practices
4. Alternative sources of supply
Many businesses don’t have alternative suppliers to aid their business in extenuating circumstances. Relying on a sole supplier can create huge risk for your company so you need to remain flexible with the source of your materials.
Even if you require a single source to keep costs low for your business, make sure you have a detailed list to fall back on in case the unexpected happens.
5. Invest in the latest warehouse and distribution technology
Modern technology shouldn’t be underestimated when it comes to boosting the efficiency of your supply chain. Investing in innovative solutions for your warehouse and distribution centre can drastically decrease the time and cost of production as well as visibility, productivity and adaptability.
At VLT Logistics, we continually invest in the latest technological advances including RF stock management systems and state-of-the-art satellite tracking so you can track your job from start to finish.
6. Outsource distribution services
If you don’t have the budget to deliver your goods with quality and speed in mind, then you need to outsource to an external distribution centre. This will allow you to continue operations as usual whilst our experienced logistics team stores and transports your goods for you.
Outsourcing logistics can be incredibly efficient because it:
- Saves costs on transport, training and storage
- Employs experienced staff who know how to handle your stock with care
- Frees up time on in-house training
- Reduces risk to your goods
- Boosts customer satisfaction and loyalty
- Gives you access to otherwise expensive technology
- Contributes to company growth
- Lowers environmental impact of your business
- Improves transparency
How to measure supply chain efficiency
To keep on top of supply chain efficiency and increase your chances of improving it further you need to identify clear efficiency performance metrics.
These could be:
- Operational costs
- Time taken to complete tasks
- Number of on time deliveries
- Quality of products
- Customer satisfaction
- Inventory turnover
- Supplier Performance Index
VLT Logistics have over 20 years in logistics and distribution of goods with drivers that are qualified to handle all of your requirements. We have the ability to deliver single pallets for smaller companies as well as full articulated loads of your completed product, parts or raw materials to improve the operational efficiency of your business, regardless of size.
If you’re interested in outsourcing your logistics to a fully trained team who put your access and understanding first, get in touch today to discuss your requirements.