Benefits of Custom Supply Chain Management Software

As a small business owner, you know how critical it is to get your product/service into the hands of your customers when they want it. The challenge is to get that done as profitably and efficiently as possible without sacrificing quality. You have procedures in place but to get optimal performance out of every link in your production process, you need real-time information you can act on. And that's what custom supply chain management (SCM) software can provide.

For many small businesses, ordering from vendors, inventory control, production capacity, order fulfillment, shipping and billing is reactive-driven. Imagine if you could see the impact on your operation a single new order has, and see that impact in real-time. Surprisingly, a recent BCI Supply Chain Management report indicates 69% of all businesses do not have full visibility of their supply chains. Companies with real-time supply chain management software systems have a distinct advantage and a competitive leg up.

What is Custom Supply Chain Management?

When you hear the word "supply" your first inclination may be to think of Just in Time (JIT) inventory. CSM is much more than that. CSM covers your entire business profile. One way to think of it is starting with the end product delivered to the customer and then working back to see how each element of your business affected that transaction. 

That would include accounts receivable, logistics, order fulfillment, sale, inventory control, production, vendor management, and more. SCM gives you the real-time information you need to make effective decisions and to develop profitable business strategies.

SCM is an integral part of an ERP system and the two together cover all the bases.

How SCM Can Impact the Bottom Line

The benefits of custom supply chain management software could fill a book because it can virtually touch on every aspect of your business. Here is a list of the obvious advantages:

  • Improved Collaboration. Most companies lack an integrated flow of information across all channels of their supply chain. This can cause bottlenecks and lost sales opportunities. An effective SCM will provide real-time, comprehensive supply chain information to end-users giving them the big picture in context.
  • Agility. Today's markets require small businesses to be able to pivot on a dime. A comprehensive custom SCM program that provides information on raw materials, production, logistics, and sales allows for quick reaction to changes in market conditions. No more guessing and waiting for reports to see if the guess was right.
  • Cross Channel Communication. When end users can see the entire business operation, departmental parochialism disappears and the business effort becomes a shared goal.
  • Improved Cash Flow. A custom SCM program can help you process customer orders more quickly and speed up delivery of orders from your vendors, making it easier to deliver your own products sooner. When products are delivered to customers sooner, companies can bill and collect sooner improving the firm's cash flow.
  • Enhanced Opportunities for Cost Efficiency and Innovation. SCM software can quickly identify points in the process that create excessive scrap, rework, and delays providing the information needed to make cost-saving corrections. Because departments can see all operations as they happen, opportunities for improvements and innovation are easier to identify.

SCM can be a game-changer for your business. If you want better control of your supply chain, if you want to take advantage of opportunities the competition doesn't even know about, contact the custom supply chain management software experts at DHx Software. We specialize in small business solutions. Contact us with your questions and discuss how SCM can best work for you.

Schedule a call with us to discuss your project. We have the business experience to understand your specific needs and to tailor a solution specific to you. Schedule now.

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