Supply chain management is an important part of any manufacturing company, as the lack of correct raw materials can affect production and lead times. However, advances in technology have made supply chain management more efficient and accurate. This article will look at how companies can leverage technological innovations to improve supply chain management.
It improves supply chain planning
ERP with inventory management can assist with supply chain planning. The planning of the supply chain process can be automated based on the parameters you set, such as reorder amount, minimum stock levels and which supplier to use. The system will use demand data past and present and supplier lead times before suggesting the optimal order amounts, to reduce the risk of ordering excessive stock.
ERP software can improve the coordination between you and your supplier, between you and your clients and between you and your staff.
Poor coordination can lead to delays and inconveniences, not just for your business but for other stakeholders as well. Being organised and coordination will increase the efficiency and productivity of your operations, which can only help to build positive relationships between all involved parties. For example, using a system to coordinate and manage stock means staff will know how much stock is available, how many are on order and how many are sold but not shipped, without the need to look on multiple systems or ask various of departments.
The ability to increase accuracy
Inaccuracies can occur at various stages of the supply chain and can have an impact on the rest of the operational processes. By leveraging the ERP technology, you will be able to put restrictions or set procedures to minimise inaccuracies such as assigning employees access based on their roles, reducing the need for multiple data entry by automation and using barcode scanning to manage inward and outward goods.
The ability to monitor the performance of your supply chain
Technological developments have made it possible for companies to monitor the performance of their supply chains. With these developments, you will be able to alter certain aspects of the process to make it even more efficient.
Also, tracking can be used to follow the products until they arrive at your premises or any other intended destination. Besides noting the location of the products, this information can help you make informed plans on the delivery to the end consumer and keep them up-to-date.
Supply chain management can be complicated if you choose to use traditional systems. You should consider using modern technology to improve the efficiency of your supply chain. These systems will even help you in the initial stages of planning the supply chain process. At the end of the day, you will enjoy flexible systems, more efficient processes, better productivity and the reduction of inaccuracies.
WinMan is an integrated ERP software that provides the tools for manufacturers and distributors to manage and optimise their processes. For more information on how WinMan can help your business contact us today.