Here’s a
revelation: your company has supply chain inefficiencies. And guess what?
Correcting some of these inefficiencies could bring substantial savings, while
improving logistics performance. The problem is how to uncover these issues and
prioritize which ones to address.
Think of it
like visiting a doctor. You can wait until you have an ache or pain, or in this
case “pains” such as costly overtime or increased transportation costs. A more
proactive approach, however, entails visiting the doctor’s office for regular
health checkups. Your doctor can highlight areas to work on to improve overall
health, but most importantly, head off major issues later on.
This is the
role a supply chain consultant can perform for your company. Their “health
check” will focus on key decision-making levels – strategic, tactical, and
operational.
Strategic
can look at things like:
- Network optimization
- Facility Layout
- Space utilization
- Pick/pack strategy
- Ship-to alignment
- Safety stock analysis
- Mode conversion
- Racking configurations
- Carrier and mode selection
- Transit time analysis
- Metrics and reporting
- SOP creation
What
companies will receive following a consultant’s visit is a roadmap to improving
the health of their supply chain. The best logistics consultants will not only
identify areas of improvement, but prioritize them and provide an ROI
calculation. Companies then can enlist the services of a supply chain
professional to swiftly correct high-priority inefficiencies.