Managing the demand and supply gap effectively is a key responsibility area (KRA) for any Operations Manager. It’s a continuous challenge which requires managing uncertainty arising due to the two main factors of demand/supply quantity fluctuations and lead time deviations. While managing demand/supply fluctuations requires Operations Managers to work closely with sales and supplier organisations, pipeline stock and transport lead time deviations can be effectively reduced by engaging closely with experienced and professional providers of 3PL. Experienced and professional providers of 3PL Brisbane, Sydney, Perth and Melbourne understand the criticality of stock accuracy and transport lead time deviations in meeting demand while keeping the cost low. They assist in managing stock accuracy at various stocking points, deciding the optimal transport mode, providing complete supply chain visibility and bringing their long-established relationship for seamless execution to ensure minimum deviations in supply plans and schedules. This provides an advantage to their customers in minimising the impact of the demand-supply gap.
Read on to learn how advanced solutions developed by providers of 3PL Brisbane can assist in managing demand and supply efficiently.
Effective planning and execution
Demand and supply planning incorporate product forecasting, transportation planning as well as supply schedules depending on transport lead time, cost, previous sales data, customer behaviour, seasonality, and market competition. For efficient forecasting and to gain maximum output, planning should be accurate and in alignment with the actual sales. After efficient planning, execution must also be proper for minimum deviations. Poor execution impacts sales and is the foremost reason for the delay in supply. The knowledge and experience available to from providers of 3PL assists Operations Managers in planning supply schedules more accurately and subsequent superior execution to ensure minimum deviation from the plans.
Maximum stock accuracy
Stock accuracy across the supply chain makes it possible to supply complete and correct goods as per demand. Maintaining stock accuracy across multiple stocking locations for multitude of SKUs becomes possible only with the deployment of best practices and updated technology. Established providers of 3PL Brisbane, Melbourne, Sydney and Perth already use updated systems and processes to ensure stock accuracy. The stock accuracy is further ensured by doing daily, weekly or monthly cycle counts. Using an established 3PL provider for your warehousing will contribute positively in maintaining stock accuracy and will boost confidence in matching supply with demand.
Efficient transportation mode
Efficient supply must be backed by efficient transportation modes which should be independent of constraints that include limited space availability, restricted timings, and limited frequency. At the same time, the cost for transportation, such as air freight and sea freight should be optimal. An inefficiently managed transportation mode blocks the product flow and restricts businesses to fulfill demand on time. Providers of 3PL understand all these criticalities and the importance of transportation in the supply chain. Whether you need to fulfill the demand as early as possible by using air freight or need to supply products in bulk using sea freight, they can assist in choosing the appropriate transportation mode for your cargo and manage it efficiently for the best experience.
Complete visibility and control
Demand and supply are continuous activities that are greatly impacted by real-time market statistics. Demand and supply statistics including current demand, pipeline stock and inventory in the stores to assist businesses to speed up or slow down the replenishment process. And hence respond effectively to the demand fluctuations. Non-visibility about current and pipeline stock along with demand data and lead times might create overstock or stock out situations. Providers of 3PL Brisbane, Melbourne, Sydney, and Perth efficiently manage information about your stock and its movement in the pipeline. Additionally, they provide complete visibility and control to manage your supply-demand gap more effectively.
Strong relationships with service providers
In a supply chain, the product goes through different hands. Therefore, every single entity plays a significant role in managing product supply and assists in perfect demand fulfillment. Having a strong relationship with the service providers improves the understanding about the required tasks which means they can be executed with confidence. Being in the freight forwarding and 3PL industry for decades, providers of 3PL in Brisbane, Melbourne, Sydney and Perth have strong relationship with all the service providers including airlines, shipping lines, transporters as well as overseas agents. 3PL providers, such as BCR, use their stronger relationship to manage last-minute hurdles, operational challenges and can get a faster response, ultimately passing all these benefits directly to your goal of meeting demand.
By engaging an experienced and professional provider of 3PL Brisbane, Melbourne, Sydney and or Perth, Operations Managers can drastically reduce the possibility of having stock mismatches, transport lead time deviations and receive improved visibility of supply chain stock. Control over these factors provides more confidence to Operations Managers to reduce a demand-supply gap and maximise order fulfilment which ultimately assists in contributing to the growth and success of business.
For more than a century, BCR has continued to help small, medium and large businesses achieve an optimum logistics solution with warehousing and transportation, including air freight and sea freight services to and from the major ports including Brisbane, Sydney, Melbourne, Adelaide and Fremantle (Perth).