COVID-19 has had an unprecedented impact on global supply chains and logistics, with importers bearing the brunt. As per a study by Microsoft and Bain & Company, 90% of companies plan to modify their supply chain networks as a direct result.
Even without these disruptions, as an importer, you are probably perplexed about the state of your orders in transit. You may find yourself asking:
- Where is my supply?
- Do I know if my supply will arrive on time or will it be early/delayed as per my lead time mapping?
- Are there other costs I need to worry about besides freight?
- Which vessel is my shipment coming on; at which port will it land?
- Has my D&D costs increased because the documents weren’t in order?
- Am I ready to receive the cargo quantity?
- How do I work effectively with multiple partners in a more efficient way?
- Do I get to know and react proactively on factors disrupting my supply chain?
Some of you probably have backlogs pending that are yet to be shipped due to the ongoing crisis. Or you may have put a stay on purchase orders given the uncertainties. Whatever the case, as an importer you would need to have agile supply chain management services to help meet your production and delivery requirements. This will allow you to meet varying customer demands while adhering to timelines. You will need to have real-time access to information to avoid operational delays. At times, poorly designed IT infrastructure can lead to non-compliance or data security and privacy issues.
The need of the hour is to build a resilient supply chain. For this, you need to have a solution that will help you effectively mitigate the risks involved. These risks could include evolving global dynamics such as frequent changes in trade policies, taxation laws, and economic pressures.
Maersk, the world’s leading integrated logistics company, has designed its Destination Supply Chain Management (DSCM) solution to help you overcome these challenges. DSCM provides visibility into your supply chain, bringing optimization and efficiency at every step.
Here’s how Maersk’s DSCM solution can solve the main issues and challenges that importers face today:
Better arrival management: As an importer, you probably order multiple products/raw materials/merchandise from several destinations worldwide. Maersk’s DSCM solution offers you extended visibility into each component of your supply chain. It lets you take control of decisions related to the quantity of your product, the timing of your shipment, and its routing, all with the expert support of Maersk’s supply chain specialists. In short, you have better visibility into each component of your supply chain, which can help you manage your operations more efficiently.
In-country logistics: Most times, you may feel obligated to select a certain route chosen by your supply chain partner. Given the underlying technology and Maersk’s experience, you get a trustworthy partner who will recommend the most optimal route and mode of transport for you to receive your order. So, if your warehouse is close to a railway station or if there’s a port nearby, the in-country logistics will get calibrated accordingly, saving you time and costs.
Upstream visibility and control: Your supplier will be able to provide you real-time information related to delivery timelines and exact location of goods with DSCM. You can get end-to-end inventory visibility right up to the SKU level. For manufacturers, such visibility - besides the assured delivery timelines - helps in forecasting the production volumes or planning demand accurately. Ensuring just-in-time inventory based on customer requirements can prove beneficial.
Improved PO management: Purchase order (PO) processes can be tricky. All compliances need to be in place – regulatory as well as internal practices – before goods are received. DSCM takes care of all the pain points in the PO process (handling bookings, coordinating processes with all carriers, ensuring the correct order quantity, etc.) with precise documentation and compliance at every stage.
Proactive communication: Thanks to proactive communication with suppliers at the origin, DSCM helps you optimize your supply chains well before the actual loading. This helps in planning smoother execution and eliminates the scope for inefficiencies by streamlining communication with all stakeholders.
Immaculate exception management: DSCM’s exception management capabilities help detect potential issues well in advance and take preventive steps. These could include an unforeseen shortfall in the number of items delivered, which may cause serious business disruption. Other instances could include inconsistencies occurring at any level – packaging, loading, or even transportation. Besides creating uncertainties, this may also derail the most well-crafted fulfillment and product availability plans.
True cost visibility: Logistics can be a costly proposition. It may come with a host of costs, including customs duties, expediting fees, fuel surcharges, handling charges, brokerages, delayed delivery penalties, freight insurance, VAT, and route costs. DSCM provides complete visibility into every cost so that there are no hidden charges. This way, you can keep your costs under control and protect working capital from costly, last-minute surprises.
Single version of the truth: As an importer, one of the biggest challenges is the voluminous documentations and reports presenting the same information in different formats. DSCM tackles this problem by retaining a single version of information for every item in an integrated, synchronized manner. This not only reduces complexity and brings in clarity but also saves time for all stakeholders.
Maersk’s DSCM solution optimizes your intricate supply chain ecosystem. By providing end-to-end visibility, it brings high predictability to your supply chain operations. Want to know more about how DSCM can help you? Click here to know more.