Employees that sit in their cars for long commutes to the office aren’t the only ones getting annoyed by the increasing congestion on the roads. Your supply chain is, too, and it’s about to get worse. In addition to busy highways, the ports and railways are experiencing an increase in congestion and it’s impacting the supply chain.
As indicated in “Is Your Supply Chain Ready for the Congestion Crisis?,” posted by George Stalk and Petros Paranikas on HBR.org, the growing congestion that commuters are experiencing also is having an impact on our supply chain. Many highways are in need of repair, which is slowing truck traffic, air traffic is facing crowded skies, and even port congestion is creating delays as larger container ships take longer to unload than older, smaller vessels. These delays can increase the costs for shipping and delivery services, which can eat into profit margins. In addition to costs, these delays can impact your timetables and ability to deliver your goods or services on time and in budget, which can lead to customer frustrations.
While you may not be able to control the pending congestion, you can reduce the impact it has on your business by strengthening your supply chain. Start the process with deploying a robust enterprise resource planning (ERP) solution. An integrated solution, such as Microsoft Dynamics® GP can improve the efficiency and productivity behind managing your supply chain. You can manage details for all of your suppliers and vendors, including specifications, costs, and delivery options and determine your primary ‘go to’ suppliers from your secondary or ‘back up’ suppliers. When one can’t deliver as needed, you know who you can rely on for back-up products or services. This data is also connected to the other moving parts of your business, reducing redundant data entry between inventory, ordering, shipping, and financial systems. With real-time, reliable data at your fingertips, you can respond faster to supply chain interruptions. In addition, the time you save from handling data can instead be put to your advantage.
Position your business to navigate the pressures of supply chain congestion by upgrading your business systems. Contact The Resource Group for more information about gaining control over your supply chain with a robust ERP solution.
By The Resource Group, a Microsoft Dynamics GP Partner out of Washington