![]() Finding international suppliers may seem appealing due to potentially lower manufacturing costs, but in the long run, it could cost your business more if you are just waiting for stock to arrive. It should not come as a surprise that shipping your products from international suppliers will increase your lead time. With tools like QuickBooks Commerce you can reduce the time taken to create and manage purchase orders, always be in contact with your suppliers, keep track of stock levels all without worrying about manual data entry and human error. Speed up your time to market by automating your inventory management workflows. Automate your inventory management process.This helps in getting your suppliers to stick to the agreed lead times. This could either be in the form of a bonus should they deliver well in advance of what they estimated or in the form of a penalty if they are delayed. Work a lead time clause into your contracts with suppliers. Your inventory is then replenished more frequently and more consistently. Instead of ordering a large amount of inventory, order smaller amounts that take less time to manufacture and ship. Increase the frequency of orders and decrease the volume.What if your supplier is delayed just before a Christmas sale? Once you understand what the long possible lead time looks like you can work from there to reduce it. Plan for the worst-case scenarios as well as seasonality. Document your supply chain journey and identify all the points along the way where you can expect waiting times. The first thing to do when trying to reduce lead times is to understand your supply chain processes, from end-to-end intimately. ![]() How can you effectively shorten your lead times and optimize inventory management? Once you have calculated your lead time, the next step is to employ corrective measures to reduce it. Longer lead times make deliveries more unpredictable and force a company to rely heavily on demand forecasts to make orders. The longer your lead time the more stock you will need to hold in your inventory. Lead time directly affects your total inventory levels. Lead time = the sum of the supply delay and the reordering delay. The lead time is the sum of the supply delay, which is how long the shipment takes to reach your inventory, plus the reordering delay. This additional 4 days is known as the reordering delay. So, if the supplier only accepts reorders once a week and you place an order 4 days before the day the order will be accepted by the supplier, your inventory will need to last an addition four days. When considering the total amount of time for a purchase order to be delivered from a supplier, factor in the time taken for the supplier to accept and process the order. If you have questions or feedback about the redesigned website, please email us at understand customers have many choices for logistics services and appreciate you choosing to do business with us.The first step in calculating lead time is to factor in the reordering delay. You’ll also have the ability to track shipments using your five-digit pro number without logging in. Active customers, fleet owners and drivers can still sign in with your credentials, and a new dashboard offers quick access to the tools you’re familiar with, like tracking, quoting, direct booking and document retrieval. We’re also excited to introduce you to a redesigned website with log-in options for customers, fleet owners and contractors. ArcBest offers the solutions you’ve come to rely on from Panther Premium Logistics ®, now with access to a full array of transportation and logistics services, including less-than-truckload shipping. We are excited to present ArcBest ® as a leading logistics company with assured capacity options.
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