Excellent Supply Base Management Solutions
In any in a dynamic market, effective supply chain management is of top priority. With its significance to business growth being emphasized time and again, it is the one that can give companies the much-needed edge over their competitors. Supply chain management includes the planning, execution, control, and monitoring of supply chain activities with the goal of building a competitive infrastructure, synchronizing supply with demand.
Until recently, most companies were keen on improving their supply chain performance, but always encountered difficulties due to issues associated with the supply base. Playing a crucial role in the enterprise, supply base management is a systematic, holistic, strategic approach to planning, developing, and managing the supplier base. It not only helps enhances global supply chain liquidity and helps maintain a record but also allows the identification of new suppliers, evaluation of existing suppliers, improvement supplier performance and supplier portfolio.
The importance of robust supply base management under demand uncertainty requires an understanding of the benefits associated with a contractor having an optimal number of suppliers. Effective supply base management measures and develops supplier performance in a proactive way by mixing and collaborating tools, thereby reducing the risk and while also ensuring that the suppliers are in the best in class.
There are a lot of criteria used by leading companies to screen suppliers for business. Companies reduce their supplier bases to reduce costs and forge closer relationships with the remaining preferred suppliers to share cost savings, who usually increase business volumes in exchange for lower unit pricing. This results in lower total costs and inventories, improved working capital and better products. The key benefit is a reduction in a contractor's total cost of supply base management. However, few supplier-optimizing models incorporate the perspectives of both demand uncertainty and supply base management costs.
The supply base management solution that you choose must be able to abreast of market changes and respond rapidly with new options and offer full access to inventory levels. It must also provide · Material Planning and Procurement · Domestic and Offshore Sourcing · Turnkey and Consigned Materials · Supplier Qualification and Certification · Vendor Managed Inventory · Ken Ban and other models · Full Materials Lifecycle Management Most companies evaluate suppliers through certification, audits and other reviews prior to entering into partnerships or any business arrangements. Look for a scalable and flexible supply chain solutions can help decrease costs and can make certain that insufficient resources are used to their most advantageous limit. Learn more about : Supply Chain Consulting & Fulfillment Solutions