The global supply chain has become so complex that communication and collaboration of parties outside and inside the enterprises have become critical. This can be achieved through transparency in the supply chain. Supply chain visibility promises numerous benefits, including reduced costs and customer satisfaction. However, these are only two of the main reasons why it is critical to your enterprise.
- Customer Satisfaction Customers consistently demand for visibility in the supply chain market. They want faster response rates. They expect the right product to be delivered at the right place and at the right time. More than that, it should have the right quality and the right price. Through supply chain visibility, you can identify potential disruptions in your supply chain and act on them.
- Risk Management There are two types of risks that your organization may encounter – operations and compliance. The former refers to events that occur due to lack of coordination between departments, while the latter happens when filing of import and export transaction is delayed. To address these risks, you need to have a transparent system that enables the flow of flexible, reliable and validated data through your supply chain process.
- Inventory Management Supply chain visibility improves your working capital by keeping your inventories low and reducing your inventory costs. It helps you lower your inventories without compromising your customers’ needs. It provides you with the status and availability of your products and materials, saving you up to 20% of value and decreasing inventory stock from over 10 days to less than 7 days.
- Supply Chain Costs Another reason to adopt supply chain visibility is supply chain costs. You need to maintain transparency in your ongoing processes in order to plan better for your supply chain processes and track your supply chain costs. End-to-end supply chain visibility helps you avoid financial leakages. It allows you to plan effectively and implement better controls.
Supply chain visibility offers a number of benefits to your business that you should not neglect. It allows you to control your finances. It allows you to predict potential disruptions and take immediate actions. It also helps you monitor the flow of finished goods to make them available to your customers. Moreover, it provides up-to-date information to help you achieve fewer inventories while meeting your clients’ needs. Sign up for our weekly blog summary and newsletter!