Why Do You Need a Supply Chain Consulancy Services for Your Company?

Posted by pinnacle sourcing on May 5th, 2017

Doing a supply chain audit can provide an organization insight, control and manage their business objectives. A supply chain audit can seem like a costly process but there are many supply chain consulting companies in India providing their audit services cost effectively.

Here are the reasons why you should audit your supply chain

Improve Data Quality Issues

Supply chain management is changing through the increasing use of data. Supply chain management services now provide businesses with much richer datasets than ever before. Data is essential to track and manage your company progress. The first step in an audit is to collect the historical data. Doing an audit can provide smaller data samples, that can support the prioritization of key cost savings initiatives. SCM software is used in businesses to better process and manages supply chain data, but gaining access to this data in the first place is sometimes challenging.

Contractor Charges Visibility

Outsourcing of transportation, House Keeping, and Shop Floor Management is a very common practice in the supply chain industry. To save cost it is obvious to monitor sub-contractors’ invoicing. Outsourced service providers often charge additional fees like fuel surcharges, housekeeping accessory costs, and handling fees, etc.

Improve Reliability

Through management and client satisfaction reviews, you may come to identify patterns emerging in your supply chain. You may discover that you are consistently delivering the services to your customers. Understanding the errors in the process and dissatisfaction to the customers can help you improve customer service by meeting your customers’ needs with higher efficiency.

Optimize Network to be more efficient

Once you have reviewed your data and have a reliable analysis of your supply chain, you are in a position to optimize. You may consider the following factors:

1. Outsource vs. Insource

A business may need various services that they can get it done by outsourcing. If you find the service provider costs are higher than your budget or their service reliability is lower than expected you can shift to the reliable provider. Also, if you can afford to the costs comparing to outsource you can in-house the services by allocating resources.

2. Facilitated business process reviews with multiple stakeholders to capture all the issues, prioritize and resolve them

3. Network reach. E.g. Reducing network in areas of low profitability

Many senior executives in the industry have identified SCM as critical to their companies’ competitive and financial performance. By understanding the processes currently in place you can easily identify the cost savings opportunities. With the improved supply chain visibility, errors can be mitigated to improve the consistency. In turn, revenues can be increased with a customer satisfaction and strengthen a brand reputation of your organization. There are many supply chain consulting companies in India that can have a significant reduction in supply chain cost in your organization.