16 Cost Reduction Strategies in Inventory Management

Unleashed

So your company is looking to reduce costs, and you’ve been asked to contribute by reducing your inventory cost. Here we explain how you can do this with 16 cost reduction strategies in inventory management?that that are each proven to reduce a company’s costs.?

The Bill of Materials (BOM) Beginners Guide!

Supply Chain Game Changer

If you’re an eCommerce seller or manufacturer, you need to know BOMs (bill of materials). How do you create a bill of materials? What Is A Bill Of Materials? A bill of materials lists the materials and processes required to create a product. Other materials.

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The Recycling Benefits of Mono-Material Flexible Packaging!

Supply Chain Game Changer

Mono-material can be described as a product only made from one resin type. Packaging using this option is rapidly gaining popularity when compared to multi-material packaging. Material is aesthetically pleasing. Reduction is resources and energy consumption during manufacturing.

Steel: The Perfect Material for a Circular Economy, but with a Huge Decarbonization Challenge

DELMIA Quintiq

Steel is a very versatile material as its composition and internal structure can be adjusted to tailor its properties. There is another important aspect of this material: recyclability. Steel is one of the most recycled material in the world.

eBook 263

Digital Transformation: Why You Can’t Afford to Wait

This playbook offers manufacturers a realistic and viable guide to balancing immediate needs with future-focused strategy.

Direct Material Woes: Seven Steps to Take to Improve Value

Supply Chain Shaman

As fall becomes winter, supply chain leaders are planning their budgets and building strategies for 2017. With this in mind, in this blog, I make an argument that we, as supply chain leaders, have screwed up direct material procurement. Direct procurement ties directly to manufacturing conversion processes through a bill of material while indirect procurement is not an input to the manufacturing processes. This is not the case with the purchase of direct materials.

What is Capacity Planning? Supply Chain Planning’s Feng Shui Strategy for Success

ToolsGroup

How much material do you have on hand? How much manpower do you have to turn that material into a product? You can’t produce an infinite amount of goods, nor can you house an infinite amount of materials. Reduce stock-outs. Capacity Planning Strategies.

The Circular Supply Chain Explained + 13 Realistic Strategies

Unleashed

With material costs rising and the drive towards sustainable practices in full swing, the circular supply chain has become an attractive way for manufacturers and sellers to manage their supply chains in a more environmentally friendly way – and save costs in the long term.

The Supply Chain Carbon Footprint Reduction Strategy

Supply Chain Game Changer

Certainly we should all reduce, reuse and recycle and it applies everywhere! As such we have the direct or indirect ability to take actions which can promote environmental sustainability, reduce carbon footprint impacts, and drive the creation of the Green Supply Chain. All of these elements of the Supply Chain will drive the consumption of energy, natural resources, raw materials and the creation of waste. Supply Chain Carbon Footprint Reduction. Reduce energy usage.

The role of a Bill of Materials in optimizing your inventory management

SYSPRO Smarter ERP

However, effectively dealing with these challenges and optimizing a manufacturing business’ processes is challenging without adopting and implementing a Bill of Materials (BOM) to accompany an organization’s ERP system. What is a Bill of Materials?

How Data Analytics Can Solve the Challenges Faced by SC Leaders in Discrete Manufacturing

Bringing data-driven intelligence to supply chain increases revenue, reduces costs, and improves the overall performance of any business, especially manufacturing companies where supply chain is the bloodline of their business. Read more!

AI-powered Demand Planning for Building Materials and Cement Industry: How To Balance Supply & Demand

ThroughPut

Dating back to 5600 BC, cement has become an indispensable building material, with its consumption only second to that of water. Since cement is a key construction material, this proposal is going to create widespread demand for cement.

Transportation Network Modeling: A Powerful Tool in Greenhouse Gas Emissions Reduction Strategy

Talking Logistics

The USA says it intends to reduce emissions by 26-28 percent below its 2005 level by 2025 , trying hard for the upper limit. Outside of the Paris Agreement, the European Union (EU) has a goal of reducing greenhouse gas emissions from transport by around 60 percent below 1990 levels by 2050. Cost reductions sometimes go hand-in-hand with GHG reductions, but some measures could increase transport costs.

Forestry Materials Concern Optimises Inventory, Improving Service Levels and Recovering Capital

CHAINalytics

Visibility into the supply chain was the chief priority … The post Forestry Materials Concern Optimises Inventory, Improving Service Levels and Recovering Capital appeared first on Chainalytics.

What is Material Requirements Planning (And do you need it)?

Unleashed

Material Requirements Planning software can be a good solution for modern manufacturers. Material Requirements Planning is a software-based practice for manufacturers that helps them juggle the different elements of the manufacturing process in order to improve efficiency and reduce costs.

Cost Reduction in Supply Chains by Opportunity and by Design

Logistics Bureau

When customers step up pressure on prices and when economic growth flattens or dips, a supply manager’s mind turns to cost reduction. Or rather, it turns even more to cost reduction, as squeezing out savings that then show up directly on the bottom line is a goal that never goes away. Some of the dollars to be recovered may come from immediate actions, such as reducing inventory. Low-Hanging Fruit as the First Savings. Multiplying discounts.

4 Important Benefits of a Sustainable Reverse Logistics Strategy

GlobalTranz

However, one of the most important aspects of supply chain strategies is often overlooked: the reverse supply chain (also referred to as reverse logistics ). A reverse logistics strategy provides a path for removing the existing equipment to make way for the next era of equipment in the case of end of life products or new upgrdes. In a sense, reverse logistics could be considered the “greenest” part of any business logistics strategy. Reduced Risks to the Business.

Transforming the Construction Materials Supply Chain

Talking Logistics

What Makes the Construction Materials Supply Chain Unique? While we are all familiar with the homes we live in and the roads we drive on, we probably don’t think much about the materials they are made of and how they get to (and are used at) construction sites. Therefore, I began our discussion by asking Steve to tell us about the construction materials supply chain and how it is similar to or different from other supply chains.

Level up your Content Strategy with Video Marketing!

Supply Chain Game Changer

These days, video is synonymous with content strategy and marketing. With so much competition in this space already, it is time to level up your content strategy so that it stands out. Incorporate video in all of your marketing material wherever possible. Subscribe Here!

Manufacturing Strategies Explained.

ModusLink Corporation

Synergy is a core element present in many successful manufacturing strategies. The synergy effect within a business is the result of mutual interaction between two individual company elements, usually achieved by executing a specific strategy. Manufacturing Strategies in Supply Chain.

Materials Management Information Systems Improve Business Operations

Hybrent

Materials management information systems help improve business operations. The potential to improve efficiency and eliminating the disruption of product availability is explored with materials management information systems. PurchasingProcurement Processes Materials Management Supply Chain solution savings purchase services MMIS Hybrent Tracking Orders Efficiency Automation supply chain software

Is a VMI strategy right for me?

Kanban Logistics

Manufacturing professionals: Are you buying parts and other raw material inventory for your factory just to have it sit for weeks or months prior to consumption? What is a VMI strategy? Once the materials are needed, the 3PL performs just in time (JIT) delivery to your facility.

Warehouse Material Handling: The Complete Guide

EMERGE App

Warehouse material handling literally determines how safe your employees are, how productive they remain, and how motivated they are to keep working. Are you concerned about how effective your warehouse material handling processes are? Warehouse Material Handling Dimensions.

Cement Logistics Planning: 3 Top Strategies To Avoid Stockouts With AI

ThroughPut

To build these megacities, rapid mobilization of building materials across the construction industry will create an exponential demand for high-grade cement. Stockout situations prevent a streamlined flow of building material to sites and cause costly delays.

What is Backordering in Materials Management?

EMERGE App

If the business uses a just-in-time inventory management strategy where they receive goods when on-demand, they’ll regularly have products backordered. Online stores depend on predetermined strategies that encash them optimally. Reduced Cost. Reduction in Waste.

Is A Customer-Centric Strategy the Same as Demand-Driven? Outside-In?

Supply Chain Shaman

The client leaned across the table and asked, “Is a customer-centric supply chain strategy the same as a demand-driven supply chain strategy?” Drawing from the Whiteboard: Building Customer-Centric Supply Chain Strategies. I asked the group to think of demand-driven concepts as the enabler of customer-centric strategies. An example is the understanding of the shopper across the moments of truth in omnichannel strategies. It was an early morning.

What is Material Requirements Planning and Material Resource Planning Software

OptiProERP

Manufacturing companies convert raw materials into a form that is of more value and use for the consumer. Developed in the 60s and 70s, material requirements planning (MRP) offered an important breakthrough for shop floor managers. What is Material Requirements Planning (MRP) Software? Material requirements planning (MRP) software plans for the production and purchase of the components used. The primary benefits of MRP software are: Inventory reduction.

Package Your Way to Supply Chain Cost Reductions

Logistics Bureau

Many articles on the topic of supply chain cost reduction have been written, most of which are understandably focused on issues such as inventory levels, network design, process efficiencies and supplier management/relationships. What do you do though, when you’ve explored and perhaps executed all the obvious options and still need to find additional savings? Make no mistake; any initiative to save money on packaging is likely to require some investment up front.

4 Truckload RFP Strategies to Achieve Efficiencies and Cost Savings

CH Robinson Transportfolio

As we face unprecedented market volatility, it is increasingly challenging to forecast and plan your truckload procurement strategies. Below we offer four insights to bring efficiencies and potential cost savings as you head into your RFP process this year.

Warehouse Cost Savings: 5 Key Areas of Focus and 13 Practical Objectives

GlobalTranz

A Director of Operations, Warehouse Director or Manager, or even the Director of Supply Chain or Logistics, are always in the pursuit of continuous improvement as well as warehouse cost savings in both time and money. After addressing these key areas, we will then give you 13 practical considerations to layer and weave into these five key areas, all in the hopes of increasing efficiency and realizing warehouse costs savings. Revise your labor scheduling strategy.

WMS Labor Cost Reductions: How to Reduce Costs Despite Peak Season

Veridian Solutions

Fortunately, WMS labor cost reductions can help alleviate these concerns, and supply chain leaders need to know why. The use of a WMS enables organizations to manage better picking through shipping, as well as replenishment strategies. Since supply chain management begins with procurement, your WMS labor cost reductions must start there. How to Maximize WMS Labor Cost Reductions. Augment Your Peak Season Labor Strategy With the Right Systems and Partner.

Supply Chain Agility: 6 Strategies to Improve Agility

ShipBob

In this article, you will learn the importance of supply chain agility, what it means to be agile, plus strategies and best practices you can incorporate into your supply chain. Reduce supply chain costs. 6 supply chain agility strategies & best practices.

Inventory Replenishment Strategies that Increase Profits

EazyStock

Inventory Replenishment Strategies to Boost Profitability. For manufacturers, running out of raw materials can lead to delays in production, while wholesalers and retailers can experience a short-term drop in sales and longer-term issues with customer attrition.

Procurement Strategy. How to Get it Right? [Guide + Template]

Precoro

A procurement team, if perceived as a partner rather than an executor by internal stakeholders when defining and executing the company's business strategy, proves to deliver. Operational efficiency and cost reduction are among the top procurement priorities for CPOs, according to Deloitte.

Digital Transformation in the Heavy Building Materials Industry

Talking Logistics

Virtually all industries today are undergoing digital transformation, but the opportunities for cost savings, as well as productivity and service improvements, are arguably greatest in the Heavy Building Materials (HBM) industry because of all of their current manual and paper-based processes. The heavy building materials (HBM) industry is a lot different, and has different challenges, than traditional manufacturing or retail.

So what is materials management? Here’s a guide to the basics

Unleashed

Chances are, especially in this strange new economy, life is going to get fairly complicated as you need to adjust the supply of materials to meet changing demand , as well as account for all the other little details that come along with purchasing and utilising materials.

Lean Logistics and Material Flow: The Importance of Continuous Improvement

LeanCor

Lean logistics aims to reduce inventory levels and create flow within supply chain networks. For supply chains looking to obtain one-piece flow lean logistics processes must be in alignment with purchasing and inventory strategies among other processes within a firm or supply chain network. In order for a firm to gain traction in their lean logistics and material flow journey, there must be support from the executive level to the associate level. By: David Sherman, CTL.

There is No Planet B: Can Supply Chains Save the World?

Logistics Viewpoints

Oracle’s recent global survey, No Planet B: How Can Businesses and Technology Help Save the World? Reduce waste and lower your costs by monitoring the condition of goods in transit to reduce spoilage. The post There is No Planet B: Can Supply Chains Save the World?

Logistics Cost Reduction: 6 Focuses to Create More Profit

GlobalTranz

This is the first of a two-part series where I will curate and cull information from my 4 decades of experience in logistics cost reduction at various positions in the supply chain. In this first part, I will focus on 6 places that you can apply to your organization to reduce costs and increase profit. An essential ingredient to logistics cost reduction: “Treat people well and profits will follow.” Logistics Cost Reduction by Focusing on Safety.

Reducing the Impact of High Fuel Costs Goes Beyond the Transportation Department

Logistics Viewpoints

This practice is typically owned by the sales and/or marketing organization, which is why it is so important for transportation and logistics departments to have input into customer service strategies. These strategies, however, need sales and marketing consent to implement.