Production and procurement are both at the core of every company. Without them, no product can be made and without product, no business can be made. Therefore, knowing your suppliers and mastering the whole supply chain is at the same time critical to run a business and an endless source of possible optimization.
While End-to-End (E2E) Supply Chain visibility is more important than ever, we will today see how SRM (and more specifically SRM tools) can help you achieve a full visibility on your complete supply chain.
End-to-End (E2E) Supply Chain: What is it?
An E2E Supply Chain represents the complete supply chain, from the raw material to the end-consumer. This cycle includes:
- Logistics and planning
- Sales and customer service
- Procurement and Inventory management
To be the most efficient and always be able to deliver the right product in the right quantity at the right time with a minimum cost, the key in your E2E supply chain is “visibility”. In order to understand your complete supply chain, you will need to collect as many information as you can. Once you know every mechanism, supplier, capacity and price, you will be able to deliver to your customer any of your product at any time and to reduce your procurement costs.
To gather all these data, a Supplier Relationship Management (SRM) SaaS can be a good ally. It can bring you the following benefits:
Always find the right contact
Implementing an SRM system in your company helps you monitor every document and information exchanged with your supplier. By collecting and efficiently administrating this data, you can gather an important list of contacts for each of your supplier. If you have any specific request or complaint to communicate to one of them, you will always have the right contact at hand - thus improving the speed and the quality of the answer.
Build a strong supplier relationship
Your suppliers are among the most important business partners you have. Therefore it is vital for you to keep a good relationship with them. By developing your supplier partnership and increasing the communication with them, you will know them better and always be in the position to quickly find the best solution for you both. Last-minute delivery, specific product development and strong cooperation will benefit your both companies and will give you an advantage over your competition.
Plan and forecast
By collecting all your product and supplier documents on the same platform, you will also develop the ability to analyze the collected data and forecast possible patterns and problems. Indeed, if you notice that at a certain period of the year your suppliers have some difficulties to deliver, you can discuss it with them beforehand or look for an extra supplier to support them.
As a supplier, analyzing collected data will also help you plan and prepare when your customers need a higher volume or have specific requests.
Keep a global vision
The more complex your product is, the more suppliers will be required to meet the demand. A common way to see a supply chain is to divide it into several smaller blocks in order to fully control the different steps. Nevertheless, a negative side of this method is the difficulty to grasp the full picture when one wants to improve processes or decrease costs. E2E Supply Chain strategy completed with documents gathered on your SRM platform help you get back this holistic vision of your supply chain, point out the steps to improve and where you can reduce your costs.
Do you want to easily collect and administer your suppliers data and documents? Do you want to get ahead with your E2E Supply Chain strategy? Discover ecratum SRM platform now and its different modules supporting you with supplier relationship management and your E2E Supply Chain Strategy.