Supply chain managers interact with many departments and people within and across the firm. He needs all these cross-functional skills, should be versatile and must coordinate well with all departments. The daily life of supply chain managers is full of challenging tasks: negotiating last-minute order changes with sales due to new customer requests; defining working capital requirements with the CFO for the next budget period, or reviewing network structures for new emerging markets with suppliers. Here are the top 4 benefits of having supply chain executives:
Improved quality control
Executives help in implementing a Management Operating System (MOS) for monitoring key performance indicators including:
· On-time delivery
· Scrap rates rework and similar issues at suppliers
· Final product quality (as received by end customers)
· Time for complaint resolution
· Findings from supplier quality assessments
Greater efficiency rate:
Executives have real-time data on the availability of raw materials and manufacturing delays allows companies to implement backup plans, such as sourcing materials from a backup supplier, preventing further delays.
Improved cash flow
Effective supply chain executives have direct and secondary effects that support the efficient, seamless flow of information, goods, and services from procurement through final delivery.
Due to increasing costs, shipping optimization is a priority for supply chain leaders. Identifying the most efficient shipping methods for small parcels, large bulk orders and other shipping scenarios helps companies get orders to customers faster while minimizing costs. Not only do those cost savings boost the company’s bottom line, but savings can be passed on to consumers as well to improve customer satisfaction.