Get Smarter With Supply Chain Management

Supply chain management plays a vital role in streamlining the functioning of a business, as well as optimizing the return on investment. With businesses investing thousands on supply chain management, it is important for businessmen to understand how supply chain management works, and make the most of the investment for their business. The following guidelines highlight the major considerations that need to be made for the smooth functioning of a supply chain management system- 

• Stack away the spreadsheets- What might have been an amazing switch from paperwork a few years back, has now become just as outdated as the papers it had replaced. Spreadsheets are not as great as they might seem for data keeping, with the enormity of the data in a supply chain making it important to step higher into the technological echelons. 
• Remain industry-specific- Even the most advanced and expensive supply chain management system can end up becoming a nuisance if it does not meet the specific requirements of your industry. Such a system might require a huge amount of customization, which is why it is important to ensure that the supply chain management system you use is geared to meet your needs. 
• Integration of parallel functions- Merely investing in a supply chain management system is not enough, as it is equally important to ensure that this system is being utilized to its maximum capacity with the various functionalities being synchronized with each other. This includes finance, sales, and operations, which when managed efficiently, contribute to the effectiveness of the supply chain management system.
• Personnel training- How you train your employees goes a long way in determining how well the supply chain functions. It is important to involve the personnel that shall be involved in operating the SCM at every stage of the process, right from the installation to the execution. 
• Constant evaluation- Most importantly, you need to keep an eye on every stage of the supply chain to ensure flawless functioning. Even one faulty link can jeopardize the entire supply chain, which is why it is important to ensure that the process is constantly evaluated and any necessary changes are made as and when needed. 

With the supply chain management of a business taken care of, the remaining functionalities fall into place automatically, and there is a visible change in the efficiency and productivity at each stage. 

Supply Chain Management: How It Reduces Organizational Cost?

The supply chain is the spine of any business involving the distribution of goods, right from the manufacturer to the consumer. Supply chain management is crucial for the profit of a business, with every single link playing a role in the bottom line of the business. In order to understand the need for an efficient supply chain management system, it is important to have a clear understanding of how organizational costs are brought down by supply chain management. 

• The first way by which supply chain management works is by ensuring demands are met in the most efficient way, which ensure complete customer satisfaction. Customer satisfaction impacts business sales and profits, bringing down the overall organizational cost.
• Supply chain management also helps to improve communication between different networks in the supply chain, hence decreasing inventory cost by lowering inventory costs. It also helps to bring down lead times in manufacture, supply, distribution, and delivery of goods. All this contributes in a reduction in the organizational cost of the business.
• With most modern supply chain management systems being completely automated, there is also a reduction in the cost of personnel involved in carrying out the functioning of the supply chain. Cutting down on these costs also brings down the overall organizational cost. Another way in which the complete automation of this process helps in improving profits for the organization is by minimizing the likelihood of errors.
• A well-managed supply chain helps in making accurate forecasts of demand based on previous sales. This ensures that orders are placed only for products that are actually needed, which helps to minimize wastage, and hence decrease organizational cost.
• Businesses can also decrease redundancies at various stages of the business via supply chain management. This can be done through a careful analysis of the functions being carried out at different stages of the supply chain, and identifying those processes that are either being repeated, or that can be eliminated without any significant impact on the business. 
• You can boost the buying power of your business through a well-managed supply chain. This is because the supply chain management system gives you a clear outlook of the trends in your business, hence enabling you to buy bulk products without the fear of wastage. In this way, you get a better price for the products than you otherwise would, and hence bring down your organizational costs. 

McLane Logistics Technology provides cost effective software solutions to improve flexibility and reduce costs in supply chain. To learn more about their services, visit them at 4001, Central Pointe Parkway, Temple, TX 76504. They can also be contacted at 1-800-989-7568.

The Need For Shipping Software Solutions

Shipping management is one of the most important aspects of any business involving product transportation of any kind. By choosing to rely on traditional methods of shipping management, companies not only incur huge costs on labor, but also put themselves at a huge risk of errors during the shipping process. This highlights the importance of shipping software solutions for companies. The reasons why most companies are choosing to employ these solutions include- 

• Most of the shipping software solutions are customizable, which means that companies can invest in 
• software that is specific to their needs. This eliminates features that are not needed by a particular business, hence leading to long-term savings. 
• By effectively managing their shipping processes, companies can have a positive effect on their bottom line, since better management means increased productivity, and also a competitive edge in their industry. 
• Most of the shipping software employed nowadays is equipped with cost management, which further brings down transportation costs by at least 15%. 
• Providers of shipping software solutions provide timely and cost-effective technical support whenever needed, which is a major assistance to companies using this software. In addition to this, these providers also help by providing regular updates for the software whenever needed, further decreasing botheration for the company. 
• The role of shipping software solutions is not just limited to the actual shipping process, but also extends to the processes leading up to it. This includes the entire paperwork, logistics, finances, data management, and streamlining of the processes for cost and time effectiveness. 
• Since these software are driven by information technology, they nearly eliminate the probability of errors, which are rampant when relying on manpower. They contribute significantly to increasing customer satisfaction by ensuring timely and accurate deliveries. In addition to this, the database is updated in real time and is easily accessible to everyone involved, making the entire process more transparent, and making it easier to spot any errors that might occur. 
• Finally, since shipping software providers update their software constantly, this means that the customers benefit from the latest technology for shipments, giving the company a constant competitive edge at no additional cost. 

Before availing the services of any shipping software provider, it is advisable to carry out a research on their reputation in the industry, and also request quotes from different providers to end up with the most cost-efficient services. 

Third Party Logistics: Choosing The Best Provider

Third Party Logistics, abbreviated as 3PL, is emerging as a solution for SME owners looking for an easy and affordable way to streamline supply chain processes. The basic role of 3PL companies is transporting freights between the buyer and seller. Since each company transports different goods, has its own budget, geographical location, and other essential factors, selecting the right 3PL provider is an important decision. The following guidelines highlight the key factors that you as business owners need to take into account for choosing the best 3PL provider:

• Scope of business- A major factor that should be considered while choosing a 3PL provider is the size of the business. While a basic 3PL that provides only transportation might be sufficient for a small business, medium and large enterprises usually require more advanced services, including additional services like customs clearance, warehousing, delivery, etc. However, it is also important to take into account plans for future expansion and ask whether the provider shall be able to accommodate them later. 
• Background check- After short-listing a few providers in the region that meet your business goals, you might want to do a background check of these providers and even talk to their previous clients. This is important to avoid any unpleasant shocks later while using their services. 
• Detailed questioning- When you have around 3-4 providers left to choose from, the next step is to prepare a questionnaire and get it filled from all these providers. While the most important consideration at this stage for most SME owners is the cost involved for the needed services, there are several other important factors that should be paid attention to.  For instance, you might want to ask the providers about their method of tracking shipments, global services, specializations, etc. An important pointer here is that while comparing rates ensure that you have included all services required for an all-inclusive quote. 
• In-person investigation- The last step before finalizing a 3PL provider should be an on-site investigation, carried out in person. It is a good idea to have at least 2 providers shortlisted at this stage. Ask them to walk you through the entire process of freight forwarding, and pay special attention to their equipment, personnel, services, and customer care. This is also a good opportunity to judge the industry knowledge of these providers.

Boosting Brand Value With Improved Logistics

Logistics and brand value are strongly inter-linked. Small changes in the former have a massive impact on the latter. In a world, where every minor mistake has a domino effect on the brand’s reputation through easily accessible Internet reviews, it is imperative for companies to make sure that their logistics do not leave any scope for any minor error. This is be possible if only the company’s logistics are customer-oriented, ensuring that customer friendly policies are not just laid in place, but also efficiently executed. 

Strong logistics strategies mean having the right items at the right time, and delivering them to the right customer. As easy as this might sound, the process that goes into flawlessly executing one is a highly intricate one, owing to the long chain of process involved. Since this is the face of the company that the customers directly get to see, it has an undeniable impact on the brand value. When customers know that the company they are dealing with has a strong customer support system and easy return or refund policies in place, there is a much higher chance of them remaining loyal to that particular brand. 

The following tips show how brand value can be boosted through logistics- 

• Increase the flexibility and speed of the transportation management system- This tackles the prime concern of customers of correct and timely deliveries. It is also instrumental in streamlining the return and exchange processes, which are a key factor in establishing brand image. 
• Maximizing logistical resources- When it comes to online shopping, it is a major challenge for a brand to stand out among thousands of its competitors. Especially in times when high-end brands are introducing attractive features such as same-day deliveries, free shipping, etc., which have proved to increase sales. 
• Effective handling of recalls- With the manifold increase in customer awareness, recalls are an inevitable challenge that companies have to face. Increasing supply chain visibility and implementing robust testing and monitoring procedures are a few ways in which companies can tackle this challenge. 
• Integrated data analysis technology- Many companies are turning to advanced logistics software for better maintenance of databases, which can be accessed at all levels of the supply chain. This helps to improve logistics management by streamlining the supply chain processes, increasing productivity and minimizing delays. 

By adopting these simple logistics principles, companies can significantly boost their brand value and increase customer satisfaction. 

Bar Coding For Effective Warehouse and Inventory Management

Inventory management is a process which helps keeping track of the goods at the warehouse and other details such as manufacturing, sales, and shipping of goods as well. Bar coding is an effective way to track the inventory. 

Let us check out how barcoding is useful in warehouse and inventory management:

• Efficacy of bar coding: The use of bar coding in the inventory makes the warehouse management very efficient. The bar codes will help to scan the information much quickly on the warehouse computer network. This will ensure that the human work force required to perform the same task is reduced thereby saving on the time and costs. It will also reduce human introduced errors. 
• Providing accurate information: Using bar coding ensures that all the information is accurate and up-to-date. You could also check out for how long the product has been at the warehouse and the price at which it was purchased. Further, it is also ensures that the warehouse is not over-stocked and the goods don’t go waste. You could also eliminate obsolete stocks from the warehouse. 
• Fulfilling the orders: The use of barcodes will help the staff to ship the goods to the right destination very easily. This will ensure that the products aren't returned very often. In other words, the orders can be fulfilled without any hassles. You can check for accuracy by comparing the bar codes on the packaging sheet with the bar codes on the products. This will eliminate inaccuracies to a great extent. Further, customer satisfaction levels will also go several notches up.
• Understanding the potential customer base: It is important to understand the potential customer base and you can do this by finding out where the products are shipped from the warehouse. This will help in determining which of the areas place the maximum orders. It would then become easier to market your services in that particular area and higher profits can be yielded as a result. 

While some companies use scanning tools in their warehouse to keep a track on the goods, this again has its own limitation which can cause errors. A bar code for all the inventories in the warehouse is a must to do away with inaccuracies. The bar code labels will provide complete info about the products in the warehouse. In other words, it is the most reliable method as it will eliminate typographical and date entry errors.

For more information about the benefits of bar coding in Warehouse and Inventory Management , visit McLane Logistics Technology  at 4001 Central Pointe Parkway, Temple, TX 76504 or call us at 1-800-989-7568.

Investing in Inventory Management Software

Inventory management software is undoubtedly a huge investment and most people speculate if it’s a good idea. Small scale to medium scale companies in particular enquire about the benefits of investment in the near future. It should be known that Inventory management software are available in the market easily and come in various configurations, depending upon the individual requirements. Some of these softwares are industry specific and the majority of them can be easily customized to put up with different requirements. The execution of any kind of software system involves a fair deal of investment in terms of cost as well as time. The returns on investment from connected systems, nevertheless, make the initial investment valuable. Inventory management software abides by the same fundamental. Here are some of the reasons why one should invest in this software:

One can achieve a more effectual and valuable tracking of entire Inventory management processes with the help of this software. Earlier these tasks were done manually, but now with the Inventory management software, one can save a lot of time and money for business. The warehouse management can help in decreasing the quantity of extra stock that is detained making sure that the accurate quantities of stocked products are available as and when required. As you purchase and execute Inventory management software, you can control stock levels, also track inventory which is being transported from once place to another. This helps in making a better decision when it comes to which products should be stocked at what places. The chances to inventory needing to be returned are highly decreased if the product sales are well-managed. 

The ROI from setting up inventory management software are ensured. In the first place, financial benefits are guaranteed. Enhanced customer satisfaction is another advantage. Cutting down additional stock can assist in economizing and help make more effective usage of warehouse storage areas. The digitally programmed enterprise processes consume lesser time in comparison to the similar tasks being accomplished physically. For the purchaser, an easy check on the system may possibly address any kind of questions concerning stock as a substitute for the employee having to make a trip to the storehouse to find out the same.

Diversify your business from your competing firms through the use of inventory management software as soon as possible.

For more information about Inventory Management Software, contact McLane Logistics Technology at 4001 Central Pointe Parkway, Temple, TX 76504. You can also call them at 1-800-989-7568.