When it comes to operations, the average business is a mess. It can be hard to keep all of your supply chain services coordinated. It’s no wonder that so many companies struggle with operational efficiency. Supply chain complexity makes it difficult for companies to coordinate activities and track costs. The result is that some businesses are overpaying for services while others are underpaying. and those companies that are paying too much are missing great opportunities to shave costs and increase profitability. With more than 60% of their cost coming from manufacturing, logistics, and other operating expenses. Supply chains must be managed effectively in order to unlock profit potential. The good news is that there are plenty of ways to streamline operations without sacrificing service levels or quality of goods. This blog will discuss 3PL services that have been proven effective at adding value to your supply chain, not just taking it away.
Inventory management is critical to any business. It’s one of the first areas for businesses to realize losses because most companies have a difficult time managing their inventory effectively. When inventory levels are too high or too low, sales volume can suffer, which can affect the entire business. Keeping track of inventory levels can be time-consuming and cumbersome. Each inventory item has a number or code that must be entered manually. This process consumes time that could be spent doing other things that would increase revenue. Technology can be a huge help in managing inventory. A supply chain-enabled inventory management system can eliminate the need to enter inventory data manually. Instead, the system will recognize and log inventory statuses, such as “Out For Delivery” or “In Stock.” It can also calculate inventory needs and costs to help businesses reduce their risk of over/ underproduction.
Collaborative Robots (Co-Robots)
Robots have been a staple of manufacturing for decades, but they were expensive to acquire and difficult to use. Now that robots are more accessible and less expensive, they are finding new and innovative uses in logistics. One example is the use of collaborative robots, or Co-Robots, to reduce the amount of human effort needed to perform tasks. In industries such as healthcare, Co-Robots can reduce the need for repetitive surgery. Other industries are also seeing the potential of Co-Robots.
Warehouse Management System (WMS)
Supply chain partners that offer warehouse services are looking to reduce their operational costs. To do so, they are turning to new technologies, such as warehouse management systems. With an integrated warehouse management system, partners can collect and analyze data pertaining to assets, inventory, and people. This information can be used to optimize assets and reduce operational costs. Some benefits that a WMS system can offer include real-time reporting, optimization capabilities, and the ability to map data to gain insight into cause and effect relationships. An optimized warehouse environment allows partners to more effectively handle their operations. It can help them reach their sales goals and reduce inventory costs by choosing the right suppliers and managing inventory in the right way.
On-demand Delivery Service
In many industries, it makes sense to have a service-based delivery model. The most obvious example is when customers order goods by placing an order on e-commerce platforms. The challenge for most businesses is finding the right partner to make that delivery happen. In other industries, however, financial services and healthcare are leading the way. In these industries, customers expect to receive goods on-demand. For example, a customer may want an MRI to be delivered to their office within the next few hours. In industries where the demand for on-demand delivery is high, there are plenty of partners that offer on-demand services. And since demand is high in these industries, the service partners are efficient, reliable, and have low rates of missed deliveries.
Electronic Data Interchange (EDI)
One of the biggest challenges for organizations operating in the global economy is integrating and exchanging data from multiple systems. In order to manage their operations effectively, businesses must operate with accurate information. This data includes products, inventory levels, and suppliers. Unfortunately, the data that businesses currently collect is siloed and not integrated. This makes it difficult to view the full impact of each partner. To solve this problem, businesses can use an EDI solution. It can connect different systems to create an enterprise-wide data exchange. By doing so, partners will be able to view the full impact of each operation while operating with accurate information. In order to manage supply chains effectively, businesses must be able to view data from multiple systems. If data is not aligned and integrated, then it is difficult to make informed decisions.
Supply chains are complex networks that support activities such as shipping and receiving goods, managing inventories, and operating service operations. These supply chains are made possible by the interconnection of multiple partners and organizations. The most successful supply chains, however, are those that have been designed with a focus on value creation. It’s important for business leaders and leaders to connect the dots between different partners to create a sustainable profitable business model. This is done through the use of 3PL services.
ProConnect Integrated Logistics – Your 3PL Partner
Wide reach, a vast network of agents, and years of industry experience – leave your shipping worries to ProConnect Integrated Logistics, a trusted freight forwarder in the region.
Be it large volumes of cargo, or just a few kilos; be it air, sea or road freight – businesses across the world have entrusted their freight shipping to us. Our expertise over the years has helped many businesses grow across boundaries. In addition to shipping, we also undertake custom clearance, import and export trade help that you may have along with offering you value-added services.
If you are looking for a partner to take care of all your logistics hassles, talk to us