Jun 16, 2020
In recent blog posts, you’ve seen the biggest business problems facing logistics and supply chain companies, as well as some of their most significant technology challenges, today’s article will help you better self-assess whether you and your company have some of the most common symptoms.
In a digital-first world, where Amazon and Walmart continue to introduce supersonic speed into supply chain expectations, your company needs to build and implement systems faster than ever before.
If you and your team have struggled in the past with new technology that took too long to implement, while market conditions were already changing mid-project, you’re likely to reach the conclusion that your previous approach was inadequate and you now need to prioritize time to implement in your decision-making process.
If you’re not even sure where to start, when it comes to planning a new, major technology initiative, your company probably doesn’t have the internal talent needed to plan or implement this kind of software development investment. So, it’s pretty much a foregone conclusion that your company will need to look to external resources.
As mentioned earlier in this eBook, logistics and supply chain executives focus on product distribution, continuous improvement, manufacturing processes and procedures, warehouse maintenance and management, quality control, regional distribution, inventory management, and surplus management. For a company with anywhere from a few dozen to even a few hundred employees, there’s usually no obvious leader to be the internal champion or day-to-day manager of a major software development initiative.
Quite simply, no one wants to spend time every day for several weeks or months managing the process.
Further complicating matters, when you try to manage a process that you don’t understand, it’s really difficult to know if what’s happening actually should be happening.
For example, with one of our newer clients, their internal IT person had some problems with IT infrastructure. There were some issues with system performance. This person called vendor support, who made a recommendation. The internal IT person then ended up purchasing a one-year agreement, for several thousand dollars, for a service that this company didn’t need.
This all happened the day before that client asked us about this same issue.
As indicated by this experience, when you don’t know what you’re managing or purchasing, it’s always better to ask a qualified expert for guidance.
When starting with a new client, we always ask for access to billing information. 99.9% of the time, our team is able to help the client reduce costs by 20% to 30% just because there are service subscriptions in place that no one knows are there. Everyone is afraid of taking ownership and pressing the delete button.
With cloud services, it’s much more difficult to identify these wasted expenses. With recurring subscriptions and multiple services, you could have a monthly bill that increases by 10%.
Sometimes, you think that this is a normal part of the software development process. But, in reality, someone turned something on and forgot to turn something off.
Does your logistics and supply chain company have some of the most common symptoms of technology-related problems? Share your comments below.
And if you’d like to learn how to accelerate your growth, download our eBook, “Navigating Logistics and Supply Chain Problems That Stand in Your Way of Growth.”