There are always going to be ways to make your supply chain more efficient. Efficiency saves time, hassle and money, so it’s a great thing to strive toward, but some techniques take almost as much time as they save. We’re here to help you tell the difference. Here are 5 quick techniques you can employ to make a big change in the efficiency of your supply chain:
ABC Priorities
ABC Priorities are an inventory management technique in which A products make 80% of your annual inventory value, B products are the next 15% of your inventory value, and C products are the last 5%. By having a clear understanding of which products your business offers falls into each of these categories, you can create a streamlined warehousing plan for inventory levels, safety stock, and layout to keep time and space waste to a minimum. This analysis may even highlight underperforming products that will save your business money by discontinuing them.
Lumping Services
When you hire a lumping service, you’re providing drivers additional help to load and unload their truck. Many hands make for light work, and our lumping teams work together in groups of three on palletized, floor-loaded, and dumped product to develop teamwork and efficiency in communication. One lumper, having no experience working with your driver, simply cannot capitalize upon this, but our groups get your drivers back on the road quickly while they can remain rested, which compounds efficiency not only in the warehouse but down the supply chain as well.
Just in Time Inventory
When used in conjunction with crossdocking services, just in time inventory has the capability to eliminate the need for warehousing. By forecasting product demand accurately, your team can time out manufacturing to arrive just in time for your distribution to go out. This allows your product to be transitioned directly from your inbound truck in bulk to your various distribution channels without taking space on the warehouse floor. This cuts handling fees in half, as the product only needs to be moved once.
Crossdocking
Even if you aren’t using crossdocking services in conjunction with just in time inventory, there are many ways it can save your business. At our new crossdocking facility, we’re able to help rework and rebalance trucks that are over axel weight to avoid fines, temporarily store product in the case of an early or late arrival to get your driver back on the road, or keep temperature-sensitive product moving to reduce spoilage. Situations change, and a crossdocking partnership can keep your supply chain flexible and moving quickly when they do.
Comprehensive and Continuous Workforce Training
It may seem counterintuitive that taking extra time for meetings and training can keep your supply chain efficient, but our experience is that it cannot be overlooked. Safety systems should continually be updated to improve worker safety as well as efficiency, and regular updates need to be communicated clearly. Similarly, regular training and recertification for special skills such as heavy machinery operations keep workers moving quickly and safely. An injury can lead to impacted productivity for a lifetime, which is why our employees come first.
Increasing the efficiency of your supply chain can lead to big wins for your business, but it’s only one aspect of what you should be looking for in a third party logistics provider. Choosing a 3PL with values in safety, flexibility and dependability will give your business a bedrock to lean against as you grow and change through the years.