Navigating the challenges created by COVID and geopolitical disruptions in the past few years has required
adaptability and innovation from businesses across the globe.
Those that have survived, and even thrived, are businesses that understand the need for a secured supply chain and have implemented measures designed to ensure the continuity, integrity, and security of the entire process from raw material sourcing to product delivery.
It takes a strategic and adaptable approach to navigate an uncertain market, but there are some simple steps a business can take to make sure it’s in control of the moving parts that make up a supply chain.
From developing comprehensive risk management strategies to being flexible about processes and taking an agile approach to procurement, as well as using smart materials to assist with resource forecasting, here are some of the key aspects of a secured supply chain.
Flexible and Agile
Conducting risk assessments to identify vulnerabilities in the supply chain helps any business prepare for various potential disruptions, including delays in delivery time frames and stock shortages. But even the most thorough risk management plan will come unstuck if it is not flexible enough to adapt to changing market conditions and unforeseen disruptions.
Bunzl’s Imports Inventory Manager Louise Pooley says that if you’re not locked into rigid systems and you work proactively with your supply chain partners, you can respond to market conditions successfully.
“For example, acting swiftly to move containers from a transshipment service to a direct service and hence reduce the transit time helps to
ensure the availability of goods for customers.”
Resource Forecasting
Being able to predict the demand for various resources needed to fulfil production and operational requirements is critical to any business. This can include raw materials, labour, equipment, facilities, and transportation capacity and when done well, means there are not only adequate resources available to meet demand, efficiency goes up and costs go down.
“For example, having a diversified supply base across products with components or materials that are critical helps to ensure continuity in supply,” says Pooley.
“It’s crucial for businesses to be agile and to try and anticipate impediments. By staying informed and constantly assessing and managing issues enables a more immediate and effective response.”
Ahead of the Game
With advancements in technology now accessible to businesses of all sizes, the integration of smart materials into supply chains offers a significant opportunity to enhance visibility and transparency. This translates to improved monitoring and control of operations, reducing the risk of disruptions and vulnerabilities.
According to Pooley, leveraging data analytics and monitoring tools can enable dynamic adjustments and help ensure security across the supply chain.
“Developments in GPS tracking, RFID (radio frequency identification) tags and blockchain are among the tools facilitating real-time tracking
of shipments. These give more surety to the authenticity of products and inventory management for businesses looking to strengthen their supply chain security,” she explains. “Because when things change – they always do – they’re ready to shift gears in a heartbeat, adjusting their security strategies and resources to tackle whatever new threats come their way.”
