Parts Logistics Problems?
You can’t operate an effective manufacturing business and optimise its profits and cash flow without a fast and lean parts supply chain. After all, your end-to-end supply chain feeds parts and materials from your suppliers into your operation, through your operation and out the front door to your customers. It is the backbone of your manufacturing and aftermarket service business.
Parts supply chains for manufacturing operations can be complex and can be even more complex for service support and aftermarket parts operations with multiple routes to market. When they go wrong, they can kill your business as promised profits evaporate rapidly and disappointed customers take their custom elsewhere, without warning, for good.
If your parts supply chain is getting out of control and hurting your business then you can expect to see several of the following symptoms:
Rising logistics costs and premium shipping costs
Increasing parts inventory and falling stock turns
Extended delivery times and growing customer arrears/backorders
Extended supplier lead times and ballooning supplier arrears
Supply chain bottlenecks and slow material flow
Any one of these symptoms is bad enough by itself. Unfortunately, they tend to happen in combination, hence the dire consequences if neglected and left alone to fester.
To help manufacturer’s aftermarket businesses to speed up, slim down and increase the agility of their end-to-end supply chains, Servispart Consulting has developed a highly effective “Fast & Lean Parts Machine Programme” with a suite of diagnostic, modelling, planning and improvement features.