Supply Chain Manager for Global Supply Chains

Supply Chain Costs and Cost of Goods Sold (COGS)

One of the unintended consequences of the export of US manufacturing jobs is the rise of global supply chains. In the past, many of the suppliers used to be clustered around their customers' manufacturing centers.

Those days were gone forever when manu-facturers in pursuit of cheap labor first went to Mexico and then to China.

Global supply chains led to longer lead times which translated into reduced flexibility in meeting changing customer needs. In the past, you could easily pick up the phone and call the supplier from across the street or town.

Today, you have to send an email to a sup-plier who speaks a different language and is located half way around the globe from you and operates in a different time zone to learn more about your order. The barriers are distance, time zone, and language, and incompatible technology. Your cost savings from cheaper labor is negated by the higher supply chain costs.

As a manufacturer, have you:

  • Had to expedite shipments to avoid your customer’s manufacturing line from shutting down.

  • Had to pay “Line Down” charges to your customer for shutting their manufacturing line thereby eliminating your profits for the fiscal year?

What type of supply chain visibility do you have compared to days past? What can you do in this New Normal to keep your commit-ments to your customers? Do you know how much of your Cost of Goods Sold (COGS) is Supply Chain cost?

Disjointed Supply Chains

Every supply chain partner uses one or more systems to handle its Order-To-Cash and Procure-To-Pay business processes and of-ten times their internal processes are frag-mented. The majority of the supply chain partners operate their business processes as siloes and have not made the effort to break down the barriers and better integrate with their supply chain partners.

All this fragmentation and silos have contrib-uted to significantly higher supply chain costs due to limited visibility, longer lead times, inventory carrying costs, expediting costs, declining operational performance in the context of very complex and layered global supply chains.

Internal collaboration is critical and this re-quires that enterprises implement an inte-grated Enterprise Resource Planning (ERP) system. But an ERP system that operates within the four walls of an enterprise doesn’t offer any remedy for the external collabora-tion needed to address the global supply chain challenges of today. On-premise ERP systems are fast becoming dinosaurs that are too complex to maintain and yet of very limited value in a global supply chain.

ERP for Global Supply Chains

Supply Chain Manager is an innovative and revolutionary Cloud solution for the modern, global and complex Supply Chains. It has the capabilities of a traditional ERP but it also has the Supply Chain Integration capa-bilities needed to allow supply chain part-ners to operate seamlessly.

For companies, that have their own ERP systems, Supply Chain Manager offers a complimentary way to integrate with both smaller and larger supply chain partners. Smaller partners without an ERP solution can choose Supply Chain Manager to run their operations.

Supply Chain Manager offers supply chain visibility on both the “Sell” and “Buy” side. Your customers will have near real-time visi-bility to the status of their orders.

Our Advance Ship Notice (ASN) probes give you and your customers visibility into the various stages of your order processing, di-rect procurement, manufacturing, logistics, and shipping processes.

On the “Buy” side, your planners and buyers will have visibility into your suppliers’ order processing, direct procurement, manufactur-ing, logistics, and shipping processes.

This type of “Sell” and “Buy” side visibility can be extended across the various tiers of your supply chain. The “Sell” and “Buy” side capabilities of Supply Chain Manager is encapsulated in its Advance Ship Notice (ASN) module. The ASN module gives the end-to-end supply chain visibility.

Supply Chain Manager offers end-to-end Supply Chain Integration from Purchasing to Order Manage-ment, Demand Planning, Logistics, Manufacturing, Shipping, Invoicing, Accounts Payable, Accounts Re-ceivable, Bank Integration, Supplier and Customer Integration, and Lo-gistics Provider Integration

This level of extended supply chain visibility addresses the many limitations of the on-premise ERP systems, minimizes the need for expensive expediting costs, prevent man-ufacturing line downs, reduce labor costs, improve customer service and satisfaction. You now have choices that can deliver tre-mendous flexibility, integration, and visibility.

Reduce Your Supply Chain Costs with Cloud Based Supply Chain Manager

Supply Chain Manager will lower your Trans-action and Opportunity costs by eliminating 3rd party transaction fees, and the need for special software while helping to improve inventory turns, supply chain visibility, and minimizing customer shipment delays which enhances your brand image.

Reign your IT Spend Using Cloud Computing

Cloud Computing is the practice of using a network of re-mote servers hosted on the internet to store, manage, and process information, rather than on a local server.

There are many financial and strategic benefits to moving to the Cloud. It allows your organization to focus on its key mission whatever that maybe and NOT be distracted by the complexities of Information Technology (IT).

Simplify. De-clutter. Focus. Let us help you focus on your important priorities and challenges while delivering world-class Enterprise Cloud Solutions.

Featured Posts
Recent Posts