The supply chain is crucial to the health and success of your business or product. Businesses that ignore the supply chain aspect while scaling pay a heavy price for their mistake. While most organizations ponder how supply chain influences the growth of their business, professionals who have taken their supply chain management in Calicut will know these 7 reasons why it does.
The strategy
If you have a sound supply chain strategy, half your business operation functions will be taken care of. The strategy should be designed to support the overall growth strategy of the company.
Network Design
Network design deals with the outbound distribution from the plant or warehouse. This aspect is critical for the success of your business and you need to monitor the slightest of the flows here and get them corrected.
Quality of Service
Customers are the primary focus of any business. Profitable growth of a firm depends on how good their customer service actually is. Customer satisfaction highly depends on the quality of the supply chain.
Costs
This is the area which solidifies the place of supply chain into a business. Supply chain gives you a clear picture of where the profit and loss happens, which in turn tells you where to spend and where not to.
Supplier Performance
A major chunk of your success widely depends upon the performance of your supplier. A smooth supply chain makes the collaboration between you and your supplier more efficient.
Managing the inventory
If your product needs to be stored or transported, you require an inventory. Supply chain enhances all the advantages you get by maintaining an inventory.
Corporate ethics and responsibility
Issues that can complicate your business are corporate social responsibilities and business ethics. Packaging using plastics can be socially irresponsible supply chain aspect. Having an expert look into such issues will help a lot.
These 7 reasons are proofs of why supply chains are so important and decide the success of your business.