Managers in the supply chain can do a lot to help join their business processes with others across the company. Connectivity is not only key within the supply chain, but also across an organization. C-suite executives are beginning to recognize the importance of the supply chain, and one way managers can return the favor is to understand the language of back-office operations.
Help the CFO Understand the Need for Supply Chain Technology
According to Adrian Gonzalez, president at Adelante SCM, in a blog post for LinkedIn, while CFOs and CEOs rarely know a great deal about the supply chain, it would behoove managers to learn more about finance. Explaining the advantages of new technology and making the case for a larger operational budget means speaking the language of those at the top of the enterprise.
Supply chain managers need to help other decision-makers understand what small percentage increases in productivity, delivery or accuracy mean for the fiscal health of the company. Even if the supply chain manager is the one who initiates the conservation, both parties will learn a great deal more about what the other does. After learning each other's lingo and understanding the challenges, real changes can be made in the business.
Supply Chain Technology and Loss Control
One thing that the C-suites will understand is an increased need for risk management and loss control. Data collection software can help the company with internal tracking while also supporting outside compliance by providing information about products at any point in the supply chain. This technology can help a company prepare for a sudden change in suppliers or help expedite a recall.
According to Gonzalez, many companies are still falling short in regards to supply chain risk management. Finding the risks requires data collection and analysis, perhaps above and beyond what a company is currently doing. However, Gonzalez said the return on investment should be high and the next time there is a disruption or recall, the company will be able to recover much quicker. This all equates to less financial damage, which is certainly something the CFO will be eager to invest in.
Mobile data collection solutions can't stop all risk, but the information they provide is paramount in preventing possible interruptions and essential to improving the connectivity of the supply chain and the enterprise.