Cutting the Fat: The Benefits of a Lean Supply Chain

Certain organizations require complex, highly-involved supply chains in order to perform at their highest level. Think of multi-billion dollar big box retailers, international electronics manufacturers, and even the US Army. All of these institutions call for a heavily layered supply chain operation with hundreds or even thousands of employees who all play different but significant roles. For these large, high-revenue firms, an agile, complex supply chain makes perfect sense. However, most small or midsize companies should not try to emulate these large conglomerates, even if they have their sights set on being the next billion-dollar enterprise.

Companies shipping thousands of loads from hundreds of warehouses on a daily basis absolutely need to have a large, diversified supply chain. However, most manufacturers aren’t in need of a massive, diversified supply chain with dozens of employees to manage a complex operation. Oftentimes it’s best for manufacturers shipping 2 or 3 daily truckloads from a single warehouse to achieve success and maximize efficiency by employing a single carrier to provide customized solutions. Working with such an experienced carrier can help keep your operation lean, clean up communication and reduce redundancies wherever possible.

The same can be said for technology systems and even physical space required to run a manufacturing operation. Walmart does itself a favor when it invests in the newest technology and implements expensive systems throughout the organization. However, a smaller shipper may not need to spend the money on a program that can analyze thousands of truckloads a day when the shipping manager already has a firm grasp on the performance. Likewise, consolidating all operations from multiple warehouses into a single central location may make more sense for a smaller firm that is spending too much money on transfers between plants.

At Zip Xpress, we understand how to provide the best service in finding the right supply chain for your business. We understand all of the nuances in the supply chain with our team of professional experts and can partner with you to build the perfect system for your needs. Ultimately, every organization has different logistics requirements, and to help you find yours, start today with Zip Xpress!

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