Supply Management Archives - Excelsior Worldwide Logistics Corp.

The Future of Supply Chain Management

excelsior on September 15, 2020

According to investopedia.com, supply chain management refers to the practice of organizing the flow of goods and services which also involves the processes of transforming raw materials into final products. Many businesses today, especially those who wanted to streamline their profits, focus a lot on supply chain management every time they set their eyes on a new potential target market.

Supply chain management can also be helpful in gaining a competitive advantage when it comes to maximizing customer value. Despite the lack of customers and other competitors due to the pandemic, it’s also essential for enterprises to elevate their supply management strategies through the use of modern technology.

This article will provide a sneak peek on some of the popular tools that can dominate the supply chain management methods and techniques in the near future:

Automation

In the past decades, keeping the stability of the supply chain had been made possible with the help of manual collection, analysis, and tracking of specific data, as well as inventory and invoices. But with the continuous integration of automation in the world of commerce, it’s most likely that every menial task that was once crucial for supply chain management will be replaced with more efficient automated systems that will make the job easier. Examples include radio-frequency identification (RFID) and transport management system (TMS).

Security Systems

Privacy protection is becoming more of a big deal for businesses that rely on digitalization. Software developers are on the verge of creating new platforms and tools for tracking and managing the route of cargo without compromising other important aspects, such as the accuracy and speed of product transportation.

Unmanned Aerial Vehicles or UAVs

Formerly known as a popular idea for science-fiction films and literature, unmanned aerial vehicles are now gaining more recognition as one of the future technologies that will greatly benefit many businesses. At the moment, UAVs are used to aid logisticians in managing trailer yards and warehouses, which can provide a more detailed view of its contents from above. UAVs are expected to be major mechanisms in future supply chain management solutions, especially in surveying the condition of warehouses, as well as keeping eyes on remote areas.

Artificial Intelligence or AI

The rise of AI might lead to reducing the need for manual processes in the field of supply chain management. Artificial Intelligence can significantly help in providing accurate analysis of data that can lead to businesses capable of identifying flaws in their operations and coming up with a highly efficient solution in addressing most issues.

Advanced Analytics

Highly correlated with the use of artificial intelligence, advanced analytics also require The Internet of Things (IoT) in streamlining supply chain management. This will make a vast amount of data produced by daily business operations more organized and structured. From customer insights to the network of carriers, businesses can have access to information that can guide them to make better decisions and become more responsive to the challenges that they regularly face.

Excelsior Worldwide Freight Logistics conducts free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Sources:

https://www.universalcargo.com/5-ways-technology-will-simplify-supply-chain-management/

https://www.investopedia.com/terms/s/scm.asp

Minimizing the Effects of Supply Chain Disruption during the Pandemic-Infographic

excelsior on August 31, 2020

Due to the worldwide spread of COVID-19, many surviving enterprises started to introduce new methods and techniques when it comes to keeping their operations intact. This is pretty much evident, especially in the aspect of supply chain management.

Sudden disruptions in the supply chain can occasionally strike during natural disasters and other public health emergencies. However, in extreme cases such as the pandemic, the severe effects of supply chain disruptions are more noticeable since it usually takes a lot of time to develop a vaccine and eradicate the virus. Even if a company is fortunate enough to resume its operations, there’s a high chance that its suppliers and other business partners won’t be able to keep, making it difficult to make any successful deals.

Do you want to protect your business against supply chain disruptions? Here are some of the best ways of minimizing its negative impact:

Communicate with Your Suppliers

Your suppliers are essential in maintaining the stability of your supply chain. The challenge that you have to face with your suppliers is that they are separate entities with different contingency plans that they implement in response to the pandemic. You should have an idea of how your suppliers operate and maintain their products so that you can make the necessary adjustments and keep them coordinated to your needs.

Go for Bulk Containers

When delivering products to your clients, you can reduce the risk of virus infection by limiting the number of product touches and points of contact during the shipping process. Letting your products exposed to possible cross-contamination can hurt the reputation and reliability of your company, so simplifying your shipping processes is like a precautionary measure against the ongoing pandemic. For instance, you can have a forklift carry used bulk containers when transporting goods to prevent your workers from touching a number of smaller containers.

Prepare Supply Chain Protocols

Aside from being a global health concern, pandemics can also hinder international trade, affecting millions of businesses worldwide. The facility of your business must be able to implement emergency supply chain protocols at any moment. These protocols may include crucial decisions that are planned carefully in order to immediately develop contingency plans and adjustments that can help your business survive.

Keep Your Workers Safe

The success of a company may depend on its ability to take care of its workers in times of crisis. COVID-19 is a virus capable of infecting a large group of people in public places. If you allow your workers to work during the pandemic, you have to equip them with the necessary gear so that they can work while preventing any risks of infection. You can have them wear face masks, face shields, and other protective clothing if needed. Regular sanitation of your company’s workplace is also a must, as well as promoting the practice of proper hygiene.

Sources:

https://www.universalcargo.com/4-lessons-for-mitigating-supply-chain-disruption-during-a-pandemic/

https://www.ghsupplychain.org/keeping-supply-chain-workers-safe-during-pandemic

Tips for Managing your Supply Chain during the COVID-19 Outbreak – Infographic

excelsior on May 31, 2020

The COVID-19 outbreak has given many businesses today a rough time, especially in the aspect of growth and making a profit. As the virus spreads throughout the world for the past months, it is quite an unfortunate scenario for anyone who thrives in keeping their supply chain intact.

Since a lot of places such as cities and provinces are currently under quarantine, it can be an absolute challenge for an enterprise to reach out to their customers, let alone their suppliers. Failure to find a solution to this issue could be highly detrimental to your business.

However, there are ways of how you can minimize the negative effects of the pandemic on your supply chain. Here are some of the best tips that can help your supply chain to survive during the COVID-19 outbreak:

Know More about Your Suppliers

With obstacles that are about to befall your line of communication, it is crucial for you as the owner to know more about your suppliers. Make sure to make an assessment regarding their capabilities to comply with your agreements during this situation. Ask them whether they manufacture the goods you receive from them, or if they receive it from others. Having such information can help you identify potential issues and the future and plan a strategy ahead of time.

Understand the Possible Implications of the Pandemic in terms of Demand

The rise and fall of demand for these times can depend on the type of business. For example, grocery stores tend to have a significant increase in demand for their products since people would most likely buy to replenish their food supply at home. This is, of course, not the same case with other businesses such as those that thrive in entertainment and leisure.

You need to consider what type of business you have, as well as your target market, in order to develop a more efficient response. You also need to keep in touch with your suppliers and talk with them regarding possible changes, especially in the arrival of their deliveries.

Study the Restrictions or Guidelines about Importing and Exporting

To hinder the swelling number of those who are infected with the virus, governments across the world implemented their own quarantine measures, which greatly affect the existing regulations in importing and exporting goods. If your business involves international importing and exporting products, then you need to know about these new guidelines.

Prepare a Pre-emptive Plan

Considering that China is one of the countries that got severely devastated by the virus, it won’t be a surprise that it will send a negative domino effect in global trade. There are still no clear indicators that this pandemic will be over soon, so always expect the unexpected. Prepare multiple alternative options in case of any disruptions in the part of your suppliers and be wary of early warning signs such as any changes in your suppliers’ payment terms.

Give Consideration for Your Workers’ Health and Welfare

Your workers play an essential role in making your supply chain in a stable condition. In line with this pandemic, successful businesses tend to survive because of the support that they receive from the loyal workforce. To look at this situation from a positive perspective, it can be an opportunity for you as the owner to show that your worker’s health and welfare will always be paramount. Adjust and develop new working practices like remote work and increasing your automation methods.

4 Tips to Keep your Supply Chain in Good Condition – Infographic

excelsior on June 30, 2019

The supply chain is defined as a congregation of all the resources of an organization, including its members, activities, and technology that operates solely for the purpose of creating and selling a particular product. Managing your supply chain is an integral step towards building a reputable business brand. A highly efficient supply chain strategy can optimize your profits by reducing the operating costs as well as increment customer satisfaction.

One crucial factor in maintaining a healthy supply chain is through the integration of effective logistics especially when your company is just starting out. Amp up your competition to the global market with these four tips in keeping your supply chain in tip-top condition!

Tip #1: Optimize your transport system

Optimizing your transport system can minimize most of your financial expenditures as well as boost your productivity. By investing in TMS (Transportation Management system), you can easily record all of your progress in transporting goods real-time so that you can have a detailed record of what’s currently going on. TMS can also provide information on the latest costs of shipping so that you can identify which carrier offers the most affordable price.

Tip #2: Take advantage of modern software used for warehouse management

While managing your warehouse is highly important, doing it manually could take a significant amount of your time. Time is a precious resource in business, so you might want to find a way to use it as wisely as possible. Why not take advantage of the era that we live in? There’s several computer software out there that can automatically help you in organizing your warehouse and make it even more productive.

There are available management systems today designed to fill out your orders right away and take a detailed record of your resource allocation.

Tip #3: Formulate your initial inventory requirements

In case you’re working with an established brand, you can analyze at past inventory performance and see if it can be compared to the latest industry trends. The information that you can retrieve will serve as your reference for knowing which product can give you the most profit. It’s highly recommended to focus on selling a carefully curated assortment of products rather than a diverse product range. You have to choose a product that people truly want.

Tip #4: Track your POs and inventory to prevent stock-outs

You may already have some reliable suppliers for your business, but it’s always better to be safe than sorry. Keep an eye on the current condition of your inventory at all times and stay updated if there are any delays. You will also need to have a backup plan if the products that arrived from your warehouse have damage.

On the other hand, monitoring your Pos (Purchase Orders) enables you to immediately detect and deal with any customer inquiry and complaints.

Final thoughts

When it comes in keeping your business up and running your supply chain definitely plays a big part. You might spend some of your resources, but keeping a tab on these four tips will ensure that you will have no problems in perfecting your supply chain so that you can eventually reach the top of your industry!

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Chinese New Year: Tips to Keep Your Supply Chain Efficient (Infographic)

excelsior on October 31, 2018

If you have been importing from China over the past years, you’re probably already aware that the Chinese New Year is one of the freight peak seasons that you should prepare for.

However, if it’s your first time, here is a detailed discussion of how the Chinese New Year can affect your supply chain:

The Chinese New Year is the most important holiday in China, that is why it is a tradition among Chinese people to take some time off and celebrate it with their family.

In fact, during its celebration, businesses temporarily shut down because they are focused on cleaning their houses thoroughly (to remove negative energy) and on preparing food for the feast.

As a result, freight demands shoot up, prices increase, and containers easily become full, making it expensive and difficult to import.

Having that said, here are four tips to keep your supply chain efficient during the Chinese New Year:

Confirm your supplier’s schedule

As mentioned earlier, Chinese people are focused on preparing for the new year’s celebration. For that reason, most Chinese suppliers start to wind down their operations one to two weeks in advance.

Aside from an early halt in operations, some Chinese suppliers also take long in resuming to their normal operations that’s why you need to confirm your supplier’s schedule so that you can place your orders while they’re still performing transactions.

Failing to confirm your supplier’s schedule can have you waiting for a month or two to place an order again since the Chinese New Year celebration usually lasts for sixteen days and that’s a red alert for import delay.

Place your orders in advance

Confirming your supplier’s schedule will enable you to place your order in time but why do it on time when you can do it early?

Placing your orders in advance won’t only help you avoid delays, it will also help you cut back on expenses and find adequate space for your shipments.

Everyone is on a rush months before the Chinese New Year that’s why you need to be proactive. Placing your orders early will help you get ahead of other importers on choosing the most affordable freight rate and obtaining the lowest GRI (General Rate Increase) possible. You will also be able to reserve enough shipping space for your goods before containers run out of space.

Split your shipments

Another technique that you can use to keep your supply chain efficient during the Chinese New Year is splitting your shipments into two categories: Urgent and non-urgent.

Urgent shipments are time-sensitive goods that are either perishable or needed immediately by its user. On the other hand, non-urgent shipments are non-perishable goods that aren’t needed immediately but still needs to be delivered on time.

During the Chinese New Year freight peak season, you should consider transporting only your urgent shipments because non-urgent shipments can be transported during the regular season wherein the demand and rates are low.

Collaborate with a trusted local freight forwarder

Collaborating with a trusted freight forwarder will free you of all the trouble that comes with importing because they got the trust of their clients for a reason.

Most trusted freight forwarders are knowledgeable with freight peak seasons and has connections with multiple international transport organizations. In short, your freight forwarder can help you negotiate with your supplier for better prices.

Moreover, they will take care of the paperwork you need for importing, that’s why you can sit back and relax throughout the process.

Here at Excelsior Worldwide Freight Logistics, you can make sure that you’re in the right hands. We don’t only have equipped and experienced people that are committed to keeping our clients’ supply chain efficient, we also conduct free orientation for those who are willing to learn about importation & exportation because it is our advocacy to share our knowledge & experience for 17 years in the business.

Visit our website today at www.excelsior.ph or contact us at (063) 525-9775

Sources:

Importer Tips: Tips to Effectively Manage Your Import Supply Chain

excelsior on June 11, 2018

Most importers will testify that managing shipments – from proper documentation to clearing cargos at the docks – is not a simple task. The import process involves a plethora of interactions and complying with dozens of regulations. These requisites can have a significant impact on your supply chain. Therefore, careful planning and fluid supply chain execution are required to minimize the uncertainties throughout the whole process.

Here are some tips that you can implement to optimize imports supply chain and speed up cycle time while complying with increased regulatory requirements in the industry.

1. Identify All Potential Pain Points

To optimize your supply chain, you must identify all the potential pain points that may cause hiccups in your operations along the way. Knowing these disruptions before they arise will enable you to create a proactive strategy with your service providers.

Aside from factors such as weather and catastrophic events, planning for the following common pain points in the supply chain will help ensure seamless import operations in the long run:

Port congestion and labor disputes
An unexpected change in vessel route
In-transit capacity crunches
Holidays, especially Chinese New Year.

2. Weigh the Benefits of LCL vs. FCL Shipping

When importing from overseas, you will likely choose between less than container load (LCL) and full container load (FCL) as a means of shipping your cargo. Each method has its own advantages and drawbacks. For instance, LCL will help you save on cost since the shipping price is shared among other importers. One of the drawbacks of this shipping method, however, is that the arrival schedule of shipments is often inconsistent. Nonetheless, there are services providers that offer regularly scheduled LCL services.

3. Hire a Trustworthy Customs Broker

Auditing your customs documents consistently is must to protect the operations and the namesake of your import business. If time is an issue, you can hire a trustworthy customs broker who will look over your records and will make sure everything matches up. In doing so, you will not only be able to ensure legitimate import operations, but you will also be able to focus on other important aspects of your growing business.

4. Ensure All Your Logistics Service Providers are Linked

Finally, a streamlined import-based supply chain will ultimately depend on the ability of your transportation and logistics partners to communicate with you and one another.

Since there are so many moving parts within international logistics, failures tend to occur in the spaces between each parties. If your service providers are communicating well with you, but you are still encountering issues, you may want to ensure that they are on the same page with each other.

It is very easy to get overwhelmed by the nuts and bolts of the complex import-based supply chain management. Being well-informed and asking your trusted customs broker and freight forwarder the right questions can significantly help you avoid costly surprises.

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn about importation & exportation. It is our advocacy to share our knowledge & experience for 17 years in the business. Contact us today to learn more about our service.

Automation

Security Systems

Unmanned Aerial Vehicles or UAVs

Artificial Intelligence or AI

Advanced Analytics