How to work with your supply chain
Building resilience into your supply chain can help businesses thrive in periods of uncertainty.
Since the pandemic, many business owners are shifting their approach to ensure flexibility so that business doesn’t grind to a halt if a certain supplier can’t deliver. Diversifying, or finding new suppliers takes the pressure off top-tier suppliers to increase control over costs and keep things running smoothly.
We spoke to James Gayle, founder of Shogun Digital, a creative social agency based in Southampton, about how he works with his supply chain to improve resilience and get the best results. Here are his 5 key tips:
- Think ahead
Plan ahead as much as you can. “Getting our supply chain right has been really difficult, from the war in Ukraine to chip shortages for electrics. One thing we can do to futureproof our businesses is forward thinking when it comes to supply chain,” said James. He suggests trying to source supplies earlier; pre-order as much as possible if stockpiling makes financial sense.
Also, be open and honest with customers through your communication tools, from newsletters to social media, to let them know if you’re having problems, plus build authentic relationships and trust through honesty.
- Nurture supplier relations
James notes that much of business is still based on whether someone likes you or not. It’s all about building real connections.
“It can come down to the human level of individual relationships like learning your supplier’s name and when their birthday is, getting the kids in the family a Christmas card, or just checking in every now and then. It can make the difference between you being prioritised over someone else.” Making an effort with your suppliers can aid the smooth-running of your chain.
- Simplify processes
Put simple and straightforward processes in place for suppliers and your in-house team. The more complex the process is, the more red tape you create and the more likely things will slow down due to one piece of paperwork. Keeping things simply can improve efficiency and means that there is less room for error.
- Embrace any disadvantages
Struggling with your supply chain? “Don’t fight the tide but go with it,” suggests James. “If you embrace your disadvantages, stay honest and authentic, it becomes less of a struggle and less of a finger pointing exercise about moving forward together.” Acknowledging any challenges can help you to identify the problem and work to find a solution.
- Have a back-up plan (or three)
It’s vital to always have a plan B to avoid any major delays. If that’s talking to an additional supplier, they don’t have to be fully on-boarded, they just have to be around so you can reach out to them in an emergency.
Ultimately, your end product reflects the quality of your supply chain. Get it right and other elements of your processes will fall into place, your team will be happy, your relationships will be secure and your business will thrive.
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