To keep a business running smoothly, it is important to fill various positions with one or more people that can track and plan. The positions that are most critical when you sell a product are related to supply chain planning. This is essential to the business because it makes sure everything is done well from obtaining raw material or products and getting them packaged and off to the customer. If any part of the system breaks down, the system will come to a halt. This means there will be lost sales and wages, costing an enormous amount of money.
Purchasing is a primary function for any business. If you're just selling products or making them, this position is critical to many parts of the business. The factory will need the materials to make the product, assemblers will need the parts to put it together, and customer service will need their tools in place to do their jobs well.
If you manufacture the product, you will need raw materials. If you assemble premade products, you need to be sure they are available as well. If the products cannot be made or put together, they cannot be sold and shipped. This part of the process is the second of the critical functions.
It is important to track the inventory. Regardless of what you purchase, you need to know how much you have and where it is. This position will keep track of it using software and digital scanners. At least monthly a full hand count needs to be done. Electronic systems can fail and it is important to reconcile them often enough to prevent running out of anything necessary.
Warehouse management keeps things organized. Wasting hours looking for something that is needed right away can be just as devastating as running out of material. A well-organized warehouse will be able to keep track of the inventory and produce is quick to the manufacturing or assembly teams in the plant.
Transportation is a function whether you have your own trucks or not. If you have a fleet, then you will need fleet management. If you ship using other carriers, then you need someone keeping track of where the products and materials are in the system to ensure they reach their destination. It is not enough to just toss the package in the mailbox and not track its progress.
Customer service is part of the supply chain because they are the face or voice of the company. When a customer buys from you they need to be able to reach out to someone if the product doesn't arrive or is damaged when it does. Having people in place to manage this aspect will keep your good reputation intact.
Demand planning encompasses many of the other functions. This position is one that helps keep the costs down by only having the needed amount of product on hand to meet the demand. Too much product will sit and age in the warehouse waiting for a sale and cost the company too much ahead of time. Running out of product costs the company in lost sales. This position requires analysis of sales and demand to carefully plan what is needed and when.
Getting the product from the raw material to the customer takes a concerted effort of many different positions. Even if the same person fills many positions, the work of each one is critical to making sure customers are happy, the company is profitable, and the product gets from one end of the chain to the other.
Purchasing is a primary function for any business. If you're just selling products or making them, this position is critical to many parts of the business. The factory will need the materials to make the product, assemblers will need the parts to put it together, and customer service will need their tools in place to do their jobs well.
If you manufacture the product, you will need raw materials. If you assemble premade products, you need to be sure they are available as well. If the products cannot be made or put together, they cannot be sold and shipped. This part of the process is the second of the critical functions.
It is important to track the inventory. Regardless of what you purchase, you need to know how much you have and where it is. This position will keep track of it using software and digital scanners. At least monthly a full hand count needs to be done. Electronic systems can fail and it is important to reconcile them often enough to prevent running out of anything necessary.
Warehouse management keeps things organized. Wasting hours looking for something that is needed right away can be just as devastating as running out of material. A well-organized warehouse will be able to keep track of the inventory and produce is quick to the manufacturing or assembly teams in the plant.
Transportation is a function whether you have your own trucks or not. If you have a fleet, then you will need fleet management. If you ship using other carriers, then you need someone keeping track of where the products and materials are in the system to ensure they reach their destination. It is not enough to just toss the package in the mailbox and not track its progress.
Customer service is part of the supply chain because they are the face or voice of the company. When a customer buys from you they need to be able to reach out to someone if the product doesn't arrive or is damaged when it does. Having people in place to manage this aspect will keep your good reputation intact.
Demand planning encompasses many of the other functions. This position is one that helps keep the costs down by only having the needed amount of product on hand to meet the demand. Too much product will sit and age in the warehouse waiting for a sale and cost the company too much ahead of time. Running out of product costs the company in lost sales. This position requires analysis of sales and demand to carefully plan what is needed and when.
Getting the product from the raw material to the customer takes a concerted effort of many different positions. Even if the same person fills many positions, the work of each one is critical to making sure customers are happy, the company is profitable, and the product gets from one end of the chain to the other.
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You can find a summary of the advantages you get when you use professional supply chain planning services at http://www.adexa.com/solutions/supply-chain-planning right now.
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