Collaborating with supply chain partners not only develops stronger partnerships but it also can deliver significant bottom line business results.
I’ve noticed that my strongest clients dedicate time and attention to developing relationships and collaborating with their suppliers, customers, transportation partners, brokers, trusted advisors etc.
There are countless options to think about …
1. Collaborative ordering – I’ve worked with multiple companies to set up processes so that they can determine what to order and when for their key customers (such as Boeing) – this creates a win-win. You are a stronger partner to Boeing and you have the opportunity to optimize inventory, freight and internal efficiencies.
2. Supplier partnerships – Instead of win-lose negotiations; successful companies find win-win opportunities. How can both companies increase profit, reduce time etc.?
3. Warehousing partners – Look in unusual places for partners to share warehouse space – customers, suppliers, friendly competitors, other key relationships? For example, who does your commercial banker know who might need to share costs?
4. Transportation partners – There are an amazing number of options to get from point A to point B. Do you just hire a carrier or ship everything via UPS? Have you thought about using rail in collaboration with local companies? Pooling trucks?
5. Collaborative R&D – Are you involving your customers, suppliers, equipment suppliers, transportation providers and others in your product development process? How else will you optimize packaging, customer needs, material options and more into one plan?
Did you like this article? Continue reading on this topic: