SCE Assignment CO1

Que.1 Discuss how to make a Supply Chain more efficient.

Ans.1 Here are 7 ways to make supply chain more efficient
Step 1: Expand your supply chain visibility
The first step in improving supply chain efficiency is to increase your visibility over logistics
operations. The best way to do this is to implement inventory management strategies that
allow you and your team to track inventory levels as they move through stages, from
receiving to warehousing, to being packed, picked, and shipped to customers. A
modern inventory management software (IMS) can provide more visibility, as well as the
ability to access real-time inventory tracking, so you can avoid stockouts, backorders, and
overpaying carrying costs. By implementing an IMS, you’re also given access to data and
analytics to help you make informed business decisions, such as inventory forecasting.

Step 2: Develop a good relationship with your suppliers

Communication with your suppliers is key! When you have a good relationship with your
suppliers, you can plan better and avoid any shortages, delays, or issues early on. A
dependable supplier is responsible for tracking the work-in-process inventory phase (i.e., the
movement of raw materials being processed into finished goods), which impacts the quality
of the products you sell and how quickly you can obtain more inventory. Suppliers that are
inconsistent in delivering a quality product can slow down your supply from the very
beginning, so it’s important to be selective and weed out suppliers that are consistently
causing issues or delays to your sourcing. Once you have discovered suppliers that are both
responsible and flexible, you’ll need to continually foster those relationships through clear
and open communication and conflict resolution.

Step 3: Automate your supply chain processes

Finding ways to automate supply chain processes is one of the best ways to improve
efficiency, reduce human error, increase supply chain performance and velocity, and save
time and money in the long run. Automating time-consuming tasks, from order processing
to automated shipping, doesn’t necessarily replace the need for human effort, but it does help
you streamline your operations and increase productivity. Warehouse automation reduces the
time, effort, and errors that are common in logistics. Some business owners even
employ logistics automation in their own warehouse, using their own technology and tools.
However, since automation technology, equipment, and robotics can be costly, many
ecommerce businesses rely on a tech-enabled 3PL that have made investments in automation
to optimize their supply chain. This way, businesses can invest more in product
development, marketing, and other important initiatives.

Step 4: Implement supply chain software

With so many processes taking place simultaneously across your supply chain, it’s important
to use implement the right software and technology that allows your team to work as
efficiently as possible. If you manage a warehouse inventory across locations, you might
want to consider using a warehouse management system (WMS) that connects with your
IMS, which can help you automate order processing, get real-time inventory tracking, order
management tools, and data reporting and analytics. Of course, implementing a robust tech
stack can become costly. Fortunately, many direct-to-consumer (DTC) brands partner with a
3PL that already has the technology necessary to optimize supply chain efficiency. For
instance, ShipBob’s fulfillment centres are powered by a proprietary tech stack, including a
WMS that lets you know what’s going on in every fulfillment centre you have inventory
stored in and where your products are stored at all times.

Step 5: Cultivate supply chain experts

Once you’ve made the decision to implement all of the changes above, the next step is to
create a training plan for your employees. Remember, your supply chain is only as efficient
as the people who manage it. Warehouse associates, order fillers, and logistics managers
should all be trained on standard operating procedures to provide consistency, efficiency,
and accuracy in their decision making. If an employee has been at the company for a long
time, be sure to ask for feedback on how your warehouse team can improve operations. If
you lack a logistics team, a 3PL can provide the expertise needs to manage your supply
chain.

Step 6: Establish green initiatives across your supply chain

Going green is business value that more customers these days are looking for. Your
customers are becoming extremely aware of the steps that companies are taking (or not
taking) to reduce their carbon footprint, so it’s important to consider ways to reduce
waste. One great cost-effective way is to utilize SIOC packaging whenever possible —
which can also reduce shipping costs — or strive for eco-friendly packaging that utilizes
biodegradable materials and minimizes waste by cutting back on unnecessary filler
materials. If you’re looking to outsource fulfilment, partner with a 3PL that invest in eco-
friendly initiatives or allow you to use your own sustainable custom packaging. For example,
Ship Bob partners with Ecocar so you can purchase carbon credits by allowing your
customers to choose (and optionally, pay for) carbon offsets on a per-order basis, and
allowing you to offset the carbon impact of product manufacturing and even last-mile
delivery. We also partner with experts in eco-friendly shipping and packaging.

Step 7: Optimize your supply chain regularly to remain efficient

Improving your entire supply chain is not a one-time fix. It’s a process that needs to be
reviewed and optimized as often as possible. It’s important to continuously collect and
analyse warehouse inventory management performance to identify areas of improvement
where further efficiency and higher order accuracy can be achieved. This can be done by
investing in technology, automating processes, or hiring logistics experts to help. For
instance, Ship Bob looks at several different aspects of their fulfilment operations to find
ways to become more efficient, such as assigning pickers optimized routes, opening more
fulfillment center locations to cut down on shipping times, and improving warehouse
picking and packing processes. Investing in supply chain efficiency improvements allows
ShipBob merchants the ability to provide a better customer experience, save on costs, and
spend less time worrying about logistics.

Que.2Explain in detail Supply Chain Network with example and flow chart.

Ans.2 What is a supply chain network? And why are they so important for
logistics and business managers? Supply chain networks allow us to look at the
big picture; giving us a better understanding of the flow of materials and
information. Often organisations focus only on their organisation; what they
produce or provide and not what the end customer receives. Looking at a supply
chain network enables firms to look at the overall movement of
materials/information from start to end, allowing organisations to see the value in
creating partnerships; and the value in working together to ensure the best
possible value is provided to the end-customer. Supply chains and supply
networks both describe the flow and movement of materials & information, by
linking organisations together to serve the end-customer. ‘Network’ describes a
more complex structure, where organisations can be cross-linked and there are
two-way exchanges between them; ‘chain’ describes a simpler, sequential set of
links (Harland et al., 2001) In order to understand a supply chain network; we
need to understand what a supply chain is. A supply chain is a series of processes
linked together to form a chain.

Supply Chain Example: for apple juice production.