Apparel Industry- Establishing an efficient supply chain
What is Efficient Supply Chain?
India’s supply chain and logistics sector is one of the largest globally which is expected to touch $ 307 billion by the end of 2021. Apparel Manufacturers in order to get the competitive advantage and to stay a step ahead from competition need a supply chain which is been working efficiently. But here the question comes how should apparel manufacturers do so? To improve the efficiency of supply chain management and create effectiveness, apparel manufacturer needs to,
- Create and improve predictability
- Optimize the supply chain cost
- Reduce or minimize the working capital
- Analyze the risk
- Should have a proper grip on the data.
All these will help businesses ultimately in achieving quicker delivery time, shorter processing time, better inventory management, increase in revenue and ultimately in making supply chain efficient.
Ways to improve Supply chain efficiency
- Implementing a good project plan: The project plan is the center point of reference for all initiatives, the same needs to be used to ensure that company’s decisions and investments are in line with their supply chain goals as well as with their company’s vision. Increasing supply chain efficiency is not a one-time thing it’s an ongoing process and that’s where the project plan helps which will helps company to ensure that they are continuously working towards the defined objective. A good project plan helps in various ways like developing distribution strategy, establishing communication channels, identifying risk & opportunities and facilitating cross-functional decision-making.
- Identify where technology can help: In survey’s it has been seen that, manual driven processes in supply chain sometimes causes an issue of supply chain visibility. However, this issue can be resolved by taking assist of the technology. Technology such as real time inventory management, it will help business owners in making decision about their goods by evaluating a wide range of data including orders, damage, spoilage & customer reviews. In nutshell company should be known which process in the whole is lacking and in their which technology can be deployed to make supply chain efficient. With appropriate technology in place, detailed reporting data will be more accessible and accurate as well as it will help in strategic planning.
- Increase supply chain visibility: Supply chain visibility refers to the company’s ability to track each and every component of the product as it moves from the suppliers till manufacturers receive the product. Also, to make the supply chain more visible manufacturers can proactively give the access to suppliers to check inventory in real time, this will help suppliers to better understand your current situation and can fulfill future demand. The same needs to be done internally also as it will help internal key members to prepare strategies based on the inventory count.
- Establish regular reviews: Manufacturers should constantly review procedures and policies to ensure compliance, efficiency is being achieved or not. This will help avoid process bottlenecks and help streamline operations while mitigating the risk of theft & fraud.
There’s a huge difference a company using supply chain and efficient supply chain, so the above mentioned ways will assist you in the journey of going & growing from a regular supply chain to converting into an efficient one. This will ultimately help businesses in achieving their vision effectively and efficiently