Does your company have full supply chain visibility? If you said no, you’re not alone.
Despite being a top priority for companies, only 6% say they’ve actually achieved full supply chain visibility according to Geodis’ 2017 Supply Chain Worldwide Survey.
In 2015, transparency and visibility within the supply chain ranked as the 6th most important strategic priority. Geodis surveyed 623 companies from a variety of industries in 17 countries.
What’s driving this increased need for visibility and transparency? As business becomes more globalized and technical, companies need to evolve their supply chain. It wasn’t too long ago that the main goal of a supply chain was to ensure deliveries arrived on-time and in-full.
Today, company leaders consider the supply chain a key part of business growth and competitiveness, the study notes. As the supply chain plays an even larger role in business development, leaders report these are their top five priorities:
- Ensure deliveries arrive on-time and in-full without error
- Improve product availability and delivery
- Improve end-to-end supply chain visibility
- Optimize inventory costs
- Reduce transport and warehousing costs
These priorities should come as no surprise to shipping-based businesses, particularly those in e-commerce. Free, second-day shipping is becoming the norm thanks to services like Amazon Prime. And with FedEx and UPS raising rates rising by an average of 5% every year, businesses are left feeling the pinch.
Changing consumer expectations aren’t the only issue facing shipping-based businesses. When you add technological disruption and increasingly high goals, it’s no surprise leaders say it’s difficult to achieve supply chain visibility. TAs supply chains and companies themselves evolve to meet new objectives on the business and consumer side, leaders reported the following as their biggest challenges:
- Developing a long-lasting and consistent supply chain
- Improving quality and compliance
- Improving supply chain flexibility
- Creating costs savings
- Dealing with innovation and technological disruption
How Can You Get More Visibility into Your Supply Chain?
Achieving supply chain visibility isn’t a simple task — there’s a reason only 6% of companies say they’ve done this. While new technology can’t solve every issue, it can solve some of the largest challenges companies face.
Key among them: monitor your data. We cannot stress this enough. Achieving full supply chain visibility cannot happen if you don’t know your numbers.
Understanding how much your packages weigh and where they’re going is only the beginning. Pay attention to ratios like service mix or distribution, domestic or international, import or export, weight distributions and zone or lane distribution.
These figures will give you valuable benchmarks to help you uncover patterns and anticipate trends. You’ll be able to spot opportunities for efficiencies and gain greater visibility into every part of your supply chain.
Gathering and analyzing all of this data is a large request for many companies. A tool like Reveel’s gives you better insight and transparency by drilling down to package-level details to root out inefficiencies. Our online portal will provide real-time visibility into your supply chain and transportation spend, and actionable insights.