Improve supply-chain management to grow your bottom line

When it comes to improving the bottom line, companies often head along the same tired route of putting in place cost-cutting and austerity measures as their first line of attack. From fairly benign measures such as cutting back on say, paper and stationary, the severity of measures can quickly escalate to the point where they impact the workforce directly—from mandatory overtime, to reduced bonus or pay rise and even job losses.

Cut backs that directly affect the workforce are almost always short-term fixes. When a company begins to cut staff, company performance often nose dives soon after—negating any slight improvement in bottom line that may have been forthcoming.

Instead of looking at cost cutting as a way to improve the bottom line, forward thinking companies look at improving components of their business. One of the key areas that can really affect a company’s bottom line is the supply chain. For manufacturing companies, the supply chain is a cornerstone of the business, and improving this can result in dramatic and rapid improvements to the bottom line:

Incoming

• Ensure there’s always enough inventory on hand to fulfill orders. Downtime is costly.
• Check all incoming deliveries thoroughly to ensure you are getting the right amount of the correct raw material
• Maintain a clean and tidy warehouse so that raw materials are easy to locate
• Invest in technology and well-trained warehouse staff

Outgoing

• Consider rail for non-urgent deliveries. When time is not a factor, rail can be considerably cheaper than road for the transport of goods.
• Where possible, synchronize road deliveries so that trucks are as near to capacity as possible to save time and increase fuel efficiency
• Ensure your goods are properly packaged and secure during transportation to reduce the risk of damage during transit 

Windsor, Quebec based HWP is a leading wood pallet manufacturer, serving Southern Quebec and New England. HWP manufacture all standard sized pallets and can customize wood packaging to custom specifications if required. HWP also heat treat its wood packaging in compliance with HT-ISPM 15 regulations, ensuring your goods are free to travel across all borders. For more information or to request a quote, contact HWP today. 

http://www.pmac.ca/