A managed inventory depends heavily on teams and leaders that can communicate with each other to avoid operational issues, overstocking, or worse, running out of inventory when the customer is ready to buy. If a business wants to succeed with its inventory, it needs to use clear and concise communication to keep the process easy for everyone involved. Why? To answer that question, let’s take an in-depth view of how clear, concise communications play into the collaborative logistics conversation.
Failure to Communicate Amounts to Massive Disruptions in the Supply Chain
A business needs to maintain inventory accuracy if it wants to avoid significant problems, including miscommunications, late deliveries, and poor shipment visibility, writes Inbound Logistics. If the employees forget or are unable to consider all of the inventory—including inventory outside of a distribution center—inventory shortages become almost inevitable. Problems like these can then lead to a loss in profits for the business.
For lean inventory management or just-in-time fulfillment models, the ability to share information in real-time can be a make or break for supply chains. It all makes communication a vital part of maintaining a managed inventory. To aid that in managing inventory, supply chains also need to know where to begin in keeping communications in tip-top shape.
Clear Communications Enable Collaboration
A business needs a solid communication channel that works inside and outside a business’s four walls. Business partners should have access to needed information without endless email chains and uncertain processes. The business leaders should spend some time picking a communication channel that will work to proactively keep everyone informed with automated alerts and systems that auto-populate key tags to reduce clicks and save resources.
For example, utilizing a collaborative logistics platform that brings together all existing supply chain systems of record to create a single pane of glass is one opportunity to leverage a better communications channel in managed inventory strategies. Think about it. The modern world of managed inventory relies on having access to the latest inventory reports and data. This includes much more than the inventory located within a specific warehouse. Inventory in transit, waiting to be unloaded, in brick-and-mortar retail locations, and in reverse logistics processing centers should be considered. Combined with the ample volume and number of carriers, suppliers, and other logistics service providers (LSPs) that work with an organization can create a logistics nightmare. Fortunately, leveraging a collaborative resource for communications streamlines the whole process.
Added Benefits of Clear Communications in Handling Managed Inventory
A business needs to stay organized and keep electronic copies of different forms of communication. This will allow the leaders to ensure that they send important information to their team members. Moreover, it provides an immutable record of proof of the communication if anything goes wrong or should any delay or disagreement arise.
Furthermore, electronic copies have added value in maintaining compliance with applicable regulations and standards. Depending on the supply chain type, these regulations may include collecting and applying data gathered by electronic locking devices (ELDs) and submitting documentation to customs offices for processing. By digitalizing these outdated processes, supply chain leaders can proactively manage inventory, avoid issues with stockouts, and handle an ever-growing list of SKUs.
Viewing the inventory in the purview of whole supply chain operations providers further benefits that can help with exception management as well. For instance, a managed inventory requires people to remain focused while maintaining effective communication between each other. As global supply chains grow in complexity, staying the same communications’ lane will grow more complicated. However, modern supply chains can successfully create managed inventory strategies by sharing real-time data and keeping everyone informed. Doing so will allow everyone involved to keep the process smooth while minimizing stress and issues. Moreover, the added benefits of using managed inventory strategies that rely on data include:
- Less risk in moving freight.
- An increased likelihood of acceptance of tenders by LSPs.
- Lower accessorials and surcharges being assessed after shipping.
- Faster payment processing.
- Implement a Collaborative Logistics Platform That Adds Value Now
The global supply chains are under immense pressure to do more with less, reduce total costs, improve efficiency, and provide superior customer service. However, achieving those goals is difficult at best without a means of collaboration and clear communications. Find out more about how your organization can unify its tech stack and enable end-to-end transparency and communications by visiting Turvo online today.