Stay on top of your supply chain strategy.

Can supply chain strategy have a profound impact on your bottom line? Without a doubt!

Recently, we worked with a client that wanted to review their operations strategy and look for ways to optimize and improve. To begin, we evaluated many business options including, but not limited to:

  1. Do nothing (stay in the same locations).
  2. Transfer distribution operations closer to the port.
  3. Move to a different location in the Inland Empire.
  4. Relocate to Nevada.
  5. Evaluate 3PL options.
  6. Expand and automate the current facility.

In this client’s case, the customer, cost and cash flow impacts of making these changes is significant. Therefore, it’s important to review many potential outcomes thoroughly.

The bottom line

 

It is smart to refresh your supply chain strategy every few years (depending on the level of change within your company and externally) to ensure it is best fit for delivering optimal results. In conclusion, experience shows that was “killer” one year could leave you in a weak competitive position the next.

Are you staying on top of your supply chain and it’s related impacts? I’d love to hear about your top strategies in the comments!

 

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