Supply Chain Risks and sustainable approach to Mitigate with SAP B1
For evolving and growing a business in the current market situations, businesses need to think out of the box and focus more on innovative ways to gain profitability. Every business is different, but they have two things in common; Supply Chain and Technology. The backbone of every business is its supply chain management. Reducing costs and increasing efficiency is what the supply chain management has done in the last decades. But not every organization has the capability and resources to deal with their supply chains and as a result they face supply chain management risk as the business grows.
SAP Business One Supply Chain Management software helps companies in building sustainable supply chains that connect various business processes. In this blog, we will delve into the supply chain risks faced by SMEs, what steps to be taken, how to maintain sustainability, and what benefits SAP B1 SCM can offer and more.
What are the supply chain risks to the SMEs?
Supply chain risk management is a process which is taken when the businesses take strategic help in identifying where they lack. There can be several factors that can affect the smooth functioning of the supply chain. They can be internal as well as external.
Internal factors such as manufacturing risks, inventory management, planning and controlling risks, vendor supplier management, data management, technical issues, and mitigation and contingency risks can be managed at a certain level as they are within organizational control; while external factors including the demand risk, supply risk, environmental risk, customer trends, market competition, and global supply chain disruptions are some of those risks that come from outside of the organization. These are usually harder to predict and require more resources.
What agile steps can be taken to proactively address these supply chain risk factors?
- Identify your risk and map out all the data existence in the system.
- Design a supply chain risk management framework for better understanding.
- Look for ways to improve your cyber supply chain risk management
- Try to diversify your supplier network rather than relying on a single supplier.
- Constantly monitor risks and conduct risk awareness training in the organization.
- Keep all your data centralized for easy access.
To maintain the reliability and sustainability of the supply chain, businesses need to follow a structured approach to Supply Chain Risk Management, which includes the following steps:
- Leverage your data at every step from end to end: AI and ML can be of help to combine, process and understand various structured and unstructured data sets from various sources within the system to help make the supply and demand more efficient in the supply chain activities.
- Integrate ERP: Integrating with ERP can help you sync your supply chain and business information with finance, HR, sales, and other departments of the organization which are interconnected to the supply chain operations.
- Develop a transformative road map: Create a change management plan and communicate the need for change with the employes to develop a successful road map and prioritize the list of tasks to be done.
- Implementing KPI: To get closer to your sustainability goals and desired targets, it is better to make a complete plan or a set of achievable and measurable KPIs on the list.
What benefits does SAP Business One SCM tool offer your business?
Efficiency | Reduced Cost | Scalability | Better Visibility | Streamlined Process | Flexibility | Data Security | Improved Collaboration | Customer Satisfaction.
Your supply chain decides whether your business will grow or break down.
What if you have the flexibility to adapt to most unimaginable scenarios through a real-time supply chain for your entire business? The most important thing that a modern supply chain (like SAP B1 SCM) could give you is “flexibility”. Flexibility to adapt to whatever situation is being thrown at you from anywhere in your supply chain that makes it is possible for you to complete your tasks effortlessly anywhere at any time. With SAP B1 supply chain, you become more agile, productive, connected, and sustainable.
How SoftCore Solutions can help?
Need help to improve your supply chain? SoftCore Solutions can help. We have been helping SMBs with the best SAP Business One solution to cater to their business requirements. SAP B1 ERP helps you with its SCM tool to optimize and boost your business processes. Tracking your supplier’s performance, storing directories of data, forecasting demands, etc. can all be done with SAP B1 SCM.
With 22+ years of experience in the field, and more than 700 customers served, we stand tall to help you with customized solutions that suit your business.
It’s time to modernize your supply chain.
Deliver customer-centric products faster with the supply chain management (SCM) software from SAP.
Contact us for more details.