Collaborative Supply Management: Practices and Benefits
In an unpredictable global economic environment, the Supply Chain sometimes faces heavy constraints to remain a driving force of growth and differentiation. In order to guarantee the availability of products to consumers at the right time and at the best price, it is now essential for supply chain players to follow a plan for sharing resources. How can resources be shared? What are the best practices? Find answers in the white paper.
The value of collaborative supply management
To address the complex challenges of reducing logistics costs, optimizing transport use, and reducing inventories, Supply Chain players can no longer manage all of their logistics operations individually.
To remain efficient, companies must make their individual value chain collaborative. The solution? Mutualize the means, give global visibility to each stakeholder, and ensure synchronization at all levels including customers, manufacturers, and providers.
There are numerous benefits to Shared Supply Management (SSM). This strategy helps improve the management of logistics activities and delegates the supply load, but also can increase business volumes or reduce returns and waste.
Shared Supply Management or Pooling: What are the differences?
Shared Supply Management is a continuous replenishment strategy aimed at improving the availability of linear products and reducing inventory. It allows for the transition from pushed flow logic to a dynamic of drawn flows.
Pooling is a variation of Shared Supply Management which consists of bringing different manufacturers together around the same procurement process. When they have the same customer and location, they can engage in a collaborative logistics process.
Summary of the white paper
To help you understand how Shared Supply Management works and to get a global view of its issues and benefits for every player in the Supply Chain, Generix Group experts have prepared a three-part white paper.
-The fundamentals of shared supply management
-Shared Supply Management: what are the benefits?
-Beyond Shared Supply Management: 10 pooling and shared supply management models
This last part goes into detail on alternative or complementary practices to Shared Supply Management, which also improves procurement performance: Vendor Managed Inventory, Collaborative Planning Forecasting and Replenishment, cross-docking, multipick, etc.
In the retail sector, which must adapt to the rapidly changing expectations and demands of consumers, ensuring efficient management of the Supply Chain has become crucial. Therefore, manufacturers and distributors need to be part of a collaborative approach more than ever. Today, Shared Supply Management is an excellent example of the benefits of such collaboration, but Pooling is taking a new step to go even further in this path to mutualization. For more information, see the white paper summarizing the issues, practices and benefits of collaborative procurement management
How Outsourcing Packaging Can Improve Your Business