The supply chain refers to all of the moving parts from the time a product leaves the manufacturer to when it arrives on a customer’s doorstep. It’s responsible for ensuring that the company’s products are available to its customers within short timeframes and with a high-quality process in place. To guarantee these results, the procurement and supply chain management provides teams with the resources required for each stage of production.
Supply chain services provide effective supply chain management by making sure orders are filled quickly while limiting errors along the way; tracking, maintaining, and organizing data to make the process works smoother each time; and getting the product into the customer’s hands faster. Procurement is just one of the many roles involved in a good supply chain. It should be considered a core component of a company’s corporate strategy.
Although supply chains will vary in their complexity, the management of these processes can be grouped into a few common steps:
- Strategic – This is the building block, wherein you select suppliers, manufacturing partners, warehouses, and more.
- Tactical – is the part where you schedule and plan the process that is required to meet the customer demand.
- Operational – is the execution of the plan with the best success rate.
Companies that have an integrated supply chain and procurement increase their flexibility to adjust to client requests, competitors’ actions, and events within the industry.
Many more benefits are:
- A tight collaboration between parties, including OEMs (original equipment manufacturers), customers, and suppliers
- Focus on long-running success and realizing the importance of each participant
- Tier 1 companies support supply chain by aiding low-tier firms
- Advanced management skills to get the most out of the existing business capabilities
- ISC concentrates on gaining more revenues and minimizing risks for all allies
Where does Paragon Results fit into the procurement and supply chain management process?
We have helped our clients survive market volatility resulting from natural disasters, financial meltdowns, tariffs, war, recessions, and now pandemics. We work side-by-side with clients, and our proven process allows for management decisions driven by facts and data.
We start with a brief supply chain & procurement assessment to determine what is working in your organization – and identifies blind spots in your supply chain and procurement.
Contact us to find out what we do next and how we reduce your supply chain cost.