Reduce Stem Time During Tight Capacity

Reduce Stem Time During Tight Capacity

While there is no end in sight to the tight capacity issues in the supply chain, there are some differences from what we saw in the early 2000’s when capacity was an issue in the trucking industry.  Now there are some options that allow us to address supply chain challenges tactically and strategically.

As with any operational issue, this season in your logistics operations allow you to address inefficiencies in your network and correct any bad habits.  Technology has changed the paradigm allowing you full transparency and visibility.  Also, technology has brought a wealth of information that allows you to understand your supply chain, network and customer in 3D creating better ideas and solutions to problems.

Everyone knows that getting product to market is key to retaining market share and maintaining excellent relations with your customer (retailer AND end user).  So, during the capacity crunches why not retain inventories closer to market and to your customer?  Reduce your stem time by adding distribution facilities that can impact your final delivery to your customer.

This can be a short-term or long-term solution but will allow you to revamp your supply chain addressing the new “new”.

MILAN has 5 ways to help you:

1-Use local third-party logistics (3PL’s) providers to ease some of the pain by supplying inventories to your local markets.  MILAN can provide not only full storage and inventory capability in Western Tennessee but can add value through additional services that are outside the norm.

2-If you don’t want a full inventory in key local markets, then MILAN can provide quick turnaround of inventory with crossdocking and transloading services.  This allows you to tweak your supply chain without adding great costs to it.

3-Allow your 3PL to deliver your shipments to your customers.  With MILAN’s robust fleet of assets and it’s supplemental brokerage business, transporting your shipments to your customers is a valuable service.

4-Find 3PL’s who have technology capabilities that creates an open dialogue with full visibility of your inventory, products and shipments.  Full knowledge of your supply chain allows quick decisions on changes in an environment where quickness and reliability are a must.  MILAN’s WMS and TMS gives you full transparency in your supply chain needs.

5-Use a 3PL that can address multiple areas of your business EVEN if you don’t yet need the services.  Think ahead and be smart about what the future may require.  MILAN provides a variety of services in the warehousing and distribution areas, the transportation area and the value-added area.  Having a single source to your needs can bring long-term value to your business.

We live in challenging times.  You can minimize your stem time by updating your network strategy, increase your distribution centers and use a single source logistics provider who can offer multiple services.  MILAN is a logistics provider that collaborates with its customers to recover from the capacity issues.

Learn more about how MILAN addresses Supply Chain Disruption.

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