It’s quite understandable if, like many SMEs being pulverised by the COVID-19 crisis right now, your main preoccupation is dealing with cash flow concerns.
At the same time, though, there are a number of crucial supply chain elements you should focus on to help your enterprise ride out the Coronavirus storm.
5 Key Areas of Supply Chain Challenge for SMEs
SMEs face a wide range of challenges, but most of these fall under five broad areas of concentration:
- Procurement: It is a rare SME that has not faced Coronavirus-linked procurement problems. Locking in your suppliers and reducing procurement costs have to be priorities for your business.
- Inventory Management: It’s quite common for SMEs to experience inventory management issues, especially in times of crisis. These are quite easily rectified if you know what they are. Use our five-step investigative process to determine where the weaknesses lie.
- Warehousing: Warehousing challenges for SMEs typically involve layout, process efficiency, and capacity. Inefficiencies may have already been exposed by the virus-linked disruptions, but a vigorous audit of facilities and processes will highlight areas that need improvement.
4. Transport and Freight Management: Next to procurement, the transport and freight management sector has borne the brunt of the supply chain disruptions. Many SMEs are turning to hi-tech route and load optimisation software to help them unravel the tangles.
5. Customer Service: Never before has customer service been as important as it is now. Your business should be grappling with ways to keep your customers satisfied despite lockdowns, quarantines, and transport disruptions.
Material Flow Matters Too
While cash flow might be your top priority, don’t let it distract you too much from dealing with the five supply chain elements listed above.
With the COVID-19 pandemic creating havoc with SMEs—an estimated 39 percent have already closed down, according to a UK study—the challenges in these areas are more pressing than ever, and they will impact business continuity if you don’t stay on top of them.
But you don’t have to face them down without assistance. Dawson Consulting is ready to support you with rapid action, whether you need help steering through the current storm, or want to develop strategies for the inevitable, slow return to normality.
Contact us today, and we’ll help you act fast to address the supply chain issues that matter right now.