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Challenges facing the supply chain in 2020

Supply chain management Canada is fraught with challenges that can cause workflow disruptions, impacting all departments, and if left unaddressed, the end result will be a poor end customer experience.

The correct administration of the supply chain provides great competitive and commercial advantages to organizations, such as the optimization of inventories, the monitoring of raw materials for production, timely detection of losses or expiration dates close to expiration, demand synchronization. of customers with the offer of products, guarantee the availability in stock and the punctual delivery of the orders, to mention some benefits. 

Among the challenges that Supply chain management Canada faces are:

• Globalization. More and more companies are expanding their horizons and taking their products to other countries, which is undoubtedly a success to celebrate, however the supply chain faces complex situations to consider, especially in transport and punctual delivery to customers.

• Digital transformation. Canadian companies have implemented innovative technologies of big data, artificial intelligence, process automation, among others, so those companies that still lag behind in terms of digitization should seek the support of experts in SAP training Canada, such as Emerson Rush, to implement the best management software that helps them optimize the management of the supply chain.

• Consumers 4.0. New consumers (millennials and centennials) are aware of the great power of the internet and social networks to find their favorite brands, products and services, and have influenced 1.0 and 2.0 consumers (baby boomers and generation X) to take advantage of immediacy of the information offered by the internet. Purchases have never before been done with so much prior research, and therefore companies have sought the means to provide the best experiences to maintain the preference of their customers, and supply chain management Canada cannot be left behind; the main challenge is efficiency and reduction in delivery times.  

• Changes in demand. While consumers are more aware of the environment and pollution, products have increasingly shorter life cycles, especially those in the fashion sector, and the main challenge is to respond to customer needs with affordable manufacturing costs , without losing quality.

• Environmental regulations. Not only the manufacture of products is subject to quality standards, but also transportation since the new regulations demand the use of less aggressive vehicles with the environment. The challenge is to optimize deliveries to reduce fuel costs, but also to optimize transport performance without having to invest heavily in the purchase of new vehicles. To do this, new technologies make it possible to optimize fuel efficiency, evaluate drivers’ driving habits, detect unauthorized fuel purchases (for example, on a day when the vehicle should be out of circulation, charging in inappropriate stations or the “milking” of gasoline), in addition to planning routes to avoid traffic and take extra trips. 

In order to have a successful supply chain management Canada, in addition to a deep knowledge of the business, it is necessary to implement technological solutions that allow knowing relevant information in real time, to make timely decisions and increase the profitability of the business.

The integration of the different links that make up the supply chain guarantees a workflow without interruptions, since it is possible to make information more transparent, allowing visibility and control in the supply, purchasing, production, storage, logistics and transport processes .

Additionally, supplier, customer, and partner systems can be connected for more agile operations and visibility, as stakeholders can tackle challenges together, and have a customer-centric approach. 

SAP Business One is the ideal management system, which allows you to overcome all the challenges in supply chain management Canada, increasing the capacity to respond to market demand. By having a scalable, comprehensive and interoperable management system, you will ensure that each link in the supply chain is strong and works properly.

Manage and integrate your business information to better manage inventories, the acquisition of raw materials, the timely delivery of orders, among other activities that can be optimized. Contact the best company specialized in SAP training Canada: Emerson Rush and let us help you face the challenges and emerge triumphant from each of them.