It is no secret that many industries have faced interrupted supply chains this year. With shortages across wide swathes of the American economy, companies are searching for ways to repair their broken supply chains and get their shipments to customers. A broken supply chain can cause irate customers and lost trust in a company’s reputation. Here we provide a carrier’s perspective on what can be done to fix a broken supply chain.
One of the methods in fixing this problem begins with proper logistical planning. While nobody could have predicted the events of the past two years, many companies don’t have proper supply chain management plans in place. Their solutions are often to search using brokers in the hopes of finding a great deal and their shipments are often “thrown in” with the rest. Instead what’s needed is a comprehensive supply chain management plan, especially due to the tightened capacity we’ve seen this year. It is natural for some companies to panic and seek out a full truckload for their shipments to secure their space, but more often than not, they don’t need a full truckload, which only exacerbates the capacity problem. It would be far better to partner with a carrier and build a shipment plan that is best for your organization, rather than hoping this will all blow over.
Supply chain risk management is becoming an increasingly valuable field, but risk management begins with identifying where you’re most vulnerable. An example of vulnerability in a supply chain could be sourcing a component or material from a single provider. If the supplier faces any challenges such as price fluctuations or being shut down for any reason, now your company is forced to scramble for a replacement. Developing your supply chain plan requires you to map out your entire logistical process, including distribution facilities and transportation hubs. This will not be easy, but seeing the vulnerabilities will allow you to develop contingency plans in the event something goes wrong.
The final key to fixing a broken supply chain is communication. Communicating with your suppliers as well as your customers keeps everyone apprised of the situation and allows for innovative solutions to rise to the surface. Communication prevents silos from forming across organizations, which cause vulnerabilities in the supply chain. When you partner with a carrier that understands your supply chain, you’ll find it far more resilient and less likely to be affected by outside forces.
Here at Zip Xpress, we understand the importance of fixing the supply chain. Nothing frustrates everyone more than supply chain disruptions, which is why we partner with all of our customers and assist them in overcoming their shipping challenges. We assist them in the form of our custom carrier solutions, which have been helping companies now for 20 years. To see how our custom carrier solutions can help you, start today with Zip Xpress!