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Supply chain visibility is essential for businesses to remain competitive in today’s marketplace. It enables companies to identify bottlenecks and provide proactive solutions to improve efficiency and profitability. Knowing precisely how visibility can improve the receiving process helps you capitalize on the benefits even more. Supply chain visibility involves tracking the location, movement, and status of materials throughout a company's supply chain, from raw material acquisition to customer delivery.
How is Supply Chain Visibility Defined?
Supply chain visibility is the ability to track the location, movement, and status of materials throughout a company’s entire supply chain, from raw material acquisition to customer delivery.
Benefits of supply chain visibility include better inventory management, reduced costs, and product availability. Additionally, stakeholders such as manufacturers, suppliers, logistics vendors, and end consumers can all benefit from real-time insight and updates.
With access to real-time data across the entire supply chain, companies can:
Better manage their inventory
Reduce costs associated with overstocking or under-stocking items
Ensure product availability
Ultimately, see an overall improvement in the receiving process
How Supply Chain Visibility Can Improve the Receiving Process and Benefit Stakeholders
Real-time supply chain visibility provides a wide range of benefits to the following stakeholders.
Manufacturers realize greater insights about production volumes, manufacturing inefficiencies, and raw material sourcing or procurement.
Suppliers receive crucial information and real-time updates about order backlogs they can use to tweak their inventory management processes.
Logistics vendors receive real-time information that assists them in managing operations and tracking the movement of goods.
End consumers stay informed throughout the entire cycle. They even receive updated dispatch and delivery statuses.
What Is Visible Supply Chain Fulfillment?
“Visible supply chain fulfillment” is a term used to describe the process of getting products from the manufacturer to the consumer in a way that both parties can track, monitor, and access information. Visible supply chain fulfillment uses barcode scanners, RFID tags, GPS tracking devices, and automated inventory management systems to track each step of goods movement from when it leaves the factory until it reaches the customer's doorstep. This process allows companies to better manage returns and recalls since they offer visibility over all stages of the supply chain, making it easier to identify issues and take corrective action.
Using Visible Supply Chain Fulfillment Data
Thanks to advances in supply chain management technology, real-time logistics facilitate real-time supply chain visibility. This ensures items are received on time. Supply chain visibility often includes the following essential data points:
1. Order Status
Order status is a necessary data point for supply chain visibility. It provides information on an order's current location, condition, and progress. Knowing the order status helps identify potential issues or delays in the supply chain process that would interfere with efficient receiving.
2. Auditing Records
Auditing records is an essential part of supply chain visibility. It provides a snapshot of the state of a supply chain at any given moment in time, ensuring that all processes are functioning as expected and that potential or existing problems can be identified and addressed quickly.
3. Shipping Details
Shipping details provide critical information for supply chain visibility, allowing businesses to better track the movement of goods and services, as well as understand their performance in terms of time and cost.
Enhanced Supply Chain Visibility Improves the Planning Process
Another point in how supply chain visibility can improve the receiving process ties to the planning stage. Improving the supply chain visibility can improve the planning process; it allows companies to make smarter and more informed planning decisions. Companies use real-time data to track inventory, customer orders, and shipments to better understand how products are being received. This data can then help:
Create more accurate demand forecasts
Enable companies to plan for future needs more efficiently.
Effective supply chain visibility solutions like those from Veltri Logistics also provide businesses with detailed insights into the customer's purchasing behavior. They can then use this to develop marketing strategies that are more tailored to the target audience. Ultimately, improving supply chain visibility is crucial for optimal planning within an organization. It enables businesses to gain insight into both their operations and market trends while reducing risks associated with poor planning decisions.
Supply Chain Visibility Solutions Can Improve the Receiving Process
To improve the receiving process with supply chain visibility, the research firm Gartner predicts the following solutions:
Seventy-five percent of large enterprises will utilize some form of robotics in their warehouse by 2026. Labor constraints resulting from the pandemic, as well as increasing labor costs, will encourage the adoption of smart robot deployments in warehouses and distribution centers.
By 2026, advanced analytics, artificial intelligence, and data science will be utilized by 75% of commercial supply chain management application vendors. Adopting these technologies will improve decision-making by predicting various unexpected events, such as transportation and weather issues, that could adversely affect receiving.
Through 2025, supply chain decision-making will utilize edge ecosystems where operators, machines, sensors, and devices connect across the supply chain network. This enables data to be processed more efficiently without latency. We know that every business is different, which is why the team at Veltri Logistics offers a range of logistics services that can be tailored to fit your specific needs. The right solution will capitalize on how supply chain visibility can improve the receiving process. We want to make sure that you have everything you need to keep your business running smoothly.
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