Forget what you know about efficient supply chain management for a minute. As General Omar Bradley famously said, “amateurs talk strategy. Professionals talk logistics.”
The US was successful in Europe during WWII because it had a superior supply chain system. It kept its supply lines flowing with people and materials. In The Big L: American Logistics in World War II, Barry Dysarts says that the Germans called the war in Europe “materiel battle”. Why? The human and material resources of America kept pouring into Europe non-stop. Germany could not compete as its supply chain was far less capable and efficient — it lost the war.
Organizations that win in the marketplace have efficient supply chain management processes. Alibaba and Apple are examples of these organizations.
So, what is efficient supply chain management, and how can you measure it? You will find the answers in this article.
What does Efficient Supply Chain Management Mean?
An efficient supply chain means having your products at the right place at the right time.
There are few places where you would not find Coca-Cola. Amazon ships to every corner of the earth and on time too. Having a great product is crucial. The ability to deliver to your customers wherever they are at the time they need it makes you successful.
The right goods + the right place + the right time guarantee business profitability.
Also, there is the cost variable. Your supply chain operations must run at minimal costs to realize stakeholder value.
Efficiency in supply chain management describes your business’s ability to optimize resources. To use technology and expertise to deliver products to customers at the right place and time. And to cut logistics costs and maximize profits.
What Makes an Efficient Supply Chain?
- Time
Time is a crucial factor in supply chain management. In supply chain planning, timeliness is critical at every stage of the supply value chain. Delay at one point could impact your entire operation, leading to low performance.
So, one of the first metrics to look out for in your supply chain is timeliness. The time it takes in your marketplace product delivery process and receiving supply chain data. This will help to drive better decision-making.
- Cost-efficiency
The goal of supply chain efficiency is to save costs and maximize profits.
Your business focus ought to be getting accurate visibility on supply chain costs. And to find areas and stages you will optimize and save costs. If your supply chain bleeds money, it needs work.
- Quality
Quality in supply chain management means your business integrates supply chain partners. It leverages opportunities created by upstream and downstream linkages. And it creates value and achieves the satisfaction of intermediate and final customers.
As Lynn Fish said, it is no longer business versus business. Rather, it is supply chain versus supply chain in today’s economy. The organization with the best supply chain quality triumphs in the marketplace. If your supply chain delivers little customer value, it is best to start looking at revamping it.
- Flexibility
Uncertainties typify the post-COVID supply chain landscape. The ability to scale up and down your raw material purchases, production levels, and transport capacity is crucial.
Building flexibility into your supply chain management process offers immense competitive advantages.
How to Build an Efficient Supply Chain Management Process
- Make supply chain visibility the rule
You can not improve what you can not see. Having visibility across your entire operations is essential. It is the first step to building an efficient supply chain management process.
Advanced supply chain management technologies are available today. It is now easier to track your supply chain inventory from storage, pickup, and final delivery.
Companies like MVX take the burdens of supply chain visibility away from you. They allow you to focus on growing your business. MVX offers supply chain visibility technologies that make your supply chain more efficient.
- Automate supply chain processes
Automation limits human errors that cost you time and money. Integrate automation technologies into your supply chain to manage tasks and optimize resources. It helps to increase supply chain performance and leads to greater business profitability.
Tania is one of the supply chain automation technologies you can adopt. Built by MVX, it helps you book your shipment in less than 5 minutes, saving you time, effort, and money. Tania helps your supply chain process to deliver more value to your customers.
- Get a reliable supply chain partner
You can not afford to play with the supply chain partners you integrate across your supply value chain. Supply chain partners can make or mar your business. The more reliable they are, the better your business performance and profitability.
MVX provides the kind of reliability that pushes you to your goals. With their customizable logistics and supply chain services, you will achieve better performance. They’ll support you to trade around the world with ease. See why MVX is a reliable supply chain partner here.
- Be strategic with data
Data should drive all your supply chain management processes. Never guess or rely on gut feeling. Plan your supply chain using insights gleaned from verifiable industry and business data.
Using MVX also helps you to make data-backed supply chain decisions. They have expertise in collecting and analyzing supply chain data to drive efficiency. Leverage their tech-enabled services to improve your supply chain performance.
MVX Creates Supply Chain Efficiency for African Businesses
MVX unlocks trade and supply chain management opportunities for businesses in Africa. We have products and services that support businesses to trade with ease.
We offer African merchants the ability to book and manage their shipments at home or office. Our products save you the hassle of dealing with agents. They help reduce the high operating costs in Africa’s opaque and fragmented supply chain sector.
Also, we have a global reach through our membership in the World Cargo Alliance. We help businesses maintain supply chain efficiency anywhere.
MVX removes all supply chain burdens on your table and allows you to focus on growing your business.
Get started with MVX today. Tap www.mvx.trade to create a shipment request.
