Complete supply chain visibility is an investment, but the returns are worth it
Many companies today outsource some aspects of their manufacturing operations to third-party specialists to realize cost advantages and to open new markets. The result is a very sophisticated, multi-tier, global and multi-enterprise supply network that includes distribution centers, 3PLs, contract manufacturers, suppliers and the like. This outsourcing creates supply chain visibility challenges especially when considering how the product is showing up in the hands of the end user. Has my packaging protected the product? Has the product been over packaged resulting in additional costs and environmental waste? Is product being damaged from mishandling that is invisible to me with all the handover points?
Solutions to provide this visibility may include condition monitoring of the product. This type of monitoring allows users to be more predictive and proactive to understand if there’s an impending problem and how to solve problems before they occur. Visibility results in less impact on your business and improved cash flow.
The earlier and more frequently you begin using visibility systems – preferably at the very beginning of the supply chain– the better you’ll be able to avert supply chain disruptions, reduce the need for excess inventory, and limit substandard supply chain performance.
When looking at visibility related to damage, ShockWatch looks at the low hanging fruit and determines where efficiencies can be addressed. We see real numbers in areas like damage and loss claims, system downtime, or costs to repair or replace product. Adding these up, can help you determine where immediate cost savings can be found.