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    Blog Image

    Seeing is Believing: How Supply Chain Inventory Visibility Drives Performance

    • Supply chain inventory visibility helps track inventory in transit and the warehouse and offers valuable insights.
    • Supply chain technology enables real-time visibility of inventory, optimizing efficiency and decision-making.
    • Advanced analytics and insights provided by supply chain technology empower businesses to drive performance improvements.

    June 26, 2023 | Supply Chain Strategy

    Supply chain inventory visibility offers businesses the ability to track different goods either in transit or stocked in the warehouse, giving them end-to-end visibility into inventory and related activity. It enables better customer service and cost savings through management of inventory in motion, real-time status updates, reduced disruptions and risk mitigation.

    Key Benefits of Inventory Visibility

    seeing-is-believing-how-supply-chain-inventory-visibility-drives-performance

    Avoids Disruptions:

    Improved visibility enables businesses to identify potential bottlenecks and pitfalls in advance, reducing the chances of operational disruption and ensuring smoother processes.

    Boosts Agility:

    It empowers businesses to take a proactive approach, to make necessary changes and adjustments to supply chain operations beforehand, allowing for greater agility and adaptability to changing circumstances.

    Reduces Response Time:

    Data-backed decision-making facilitated by supply chain visibility eliminates the need for waiting and enables faster response times, leading to improved overall speed and efficiency in supply chain management.

    Increases Customer Satisfaction:

    Full visibility into supply chain processes helps align operations to meet dynamic customer needs, ensuring customer satisfaction and loyalty.

    Leverages Data:

    Access to comprehensive supply chain data, coupled with expert insights, enables businesses to make informed decisions, optimizing supply chain operations and boosting profitability.

    The Role of Technology in Enhancing Supply Chain Inventory Visibility

    Using an cutting-edge, end-to-end supply chain platform, businesses can gain supply chain inventory visibility in real-time both forward and backward. Supply chain software ensures that all stakeholders including the customer have access to this inventory visibility to various stakeholders, including the customer.

    Supply chain visibility (SCV) tracks the following in real-time throughout the supply chain:

    • It tracks parts, components, and finished products from their source to the end user.
    • It tracks orders as they move through the value chain.

    For instance, a company can track its product from anywhere in the world to its manufacturing facility, then follow it to a distributor or retailer, and ultimately allow customers to track the product to their doorstep.

    Achieving this level of visibility involves coordinating different partners and systems, resulting in enhanced supply chain efficiency, increased profit margins, and improved relationships with customers and suppliers.

    Furthermore, by identifying inefficiencies through visibility, businesses can make necessary modifications to improve their processes. The integration of different systems further elevates the complexity involved.

    To enhance supply chain visibility, here’s what end-to-end software solutions can offer:

    1. Real-time Supply Chain Data:

    Access to up-to-date information allows monitoring of demand-supply dynamics, critical events, key performance indicators (KPIs), shipment movements, and transactions. Detailed reports and actionable insights are provided based on this data.

    2. Integration with Capacity and Demand Planning:

    By utilizing real-time and historical data, accurate demand forecasting becomes possible. This aids in optimizing capacity utilization and streamlining ordering processes.

    3. Collaboration and Multi-tier Supply Chain Visibility:

    Multi-tier supply chains involve collaboration between buyers and multiple suppliers. Visibility into this aspect enables buyers to share vital information such as forecasts, orders and inventory with multiple suppliers, fostering better coordination.

    4. AI-powered Insights:

    Artificial intelligence algorithms provide deep insights for decision-making. With time, AI can self-correct and offer increasingly accurate information and recommendations to mitigate supply chain risks.

    5. Intuitive UX:

    Technology platforms with intuitive interfaces help users focus and get more work done, improving efficiency and the quality of work output.

    6. Digital Control Tower:

    The digital control tower serves as the central dashboard, providing end-to-end visibility of all workflows. It enables more control over the supply chain processes to analyze the effect of any deviation seen in the supply chain.

    7. Predictive Analytics:

    Predictive analytics analyzes data patterns and alerts the user to proactively handle potential problems in the supply chain.

    To Sum Up

    In today's complex supply chains, which rely on diverse supplier and distribution networks across the globe, the need for visibility is essential. By embracing latest technology solutions and tools, companies can enhance their supply chain visibility, identify areas requiring improvement and take proactive actions to optimize their end-to-end supply chain operations.

     

    Tags: inventory management , supply chain strategy

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