The Most Common Supply Chain Mistakes Companies Make

If you are looking for a way to improve your sales and operations planning, and there is a good chance that you are taking a closer look at your supply chain. Given that your supply chain and your daily operations go hand-in-hand, you need to have an accurate picture of what your supply chain looks like.

Even though you may think your supply chain is relatively straightforward, there are a few common mistakes that people make when they manage this critical part of their business. By thinking about these mistakes now, you may be able to avoid them down the road.

“wp-image-110091 size-full” title=”Supply Chain Mistakes Companies Make” src=”https://www.tipsclear.com/wp-content/uploads/2021/04/Supply-Chain-Mistakes-Companies-Make.jpg” alt=”Supply Chain Mistakes Companies Make” width=”626″ height=”417″ /> Supply Chain Mistakes Companies Make

Measuring Their Supply Chain By Spending

One of the most common mistakes people make when they are managing their supply chain is that they prioritize their functions by how much they spend on them. This is not the right way to go about setting up a supply chain. This practice worked well in decades past. Now, because companies have gotten so large and spread out, a lot of companies are outsourcing their supply chain management.

Therefore, your supply chain probably has multiple layers all over the world. Therefore, if you rely on only a single , your supply chain is more likely to experience disruptions. As a result, quantifying your supply chain by how much you spend on it is not the best approach. If you do not have an alternate , then a single failure point can take down your entire supply chain. Make sure your supply chain has multiple layers and prioritize them equally. 

Bringing the Supply Chain To Market Too Quickly

Another common mistake that companies make is trying to rush the de