In the past few years, the discussion of supply chain disruptions has been quite prevalent. Manufacturers are experiencing continuous challenges when it comes to their supply chain due to recent events. Companies are experiencing a higher volume of E-commerce orders, unforeseen natural disasters, Covid-19, political instability, and intense competition for laborers, storage space, and materials. Those are just a few examples of the disruptions making businesses look to restructure their supply chain.
What Is Supply Chain Restructuring?
Supply chain restructuring encompasses several techniques in order to optimize the functionality of one’s supply chain. As enterprises grow and shrink, and the demand for products increases and decreases, it is crucial to have a supply chain that can adapt to the needs of the industry. Supply chain restructuring enables companies to uncover the weaknesses in their supply chain and develop specific strategies to rectify the flaws.
Restructuring can include optimizing the manufacturing, transportation, storage of goods, as well as finding new suppliers to better fit the needs of the enterprise. Companies choose to restructure their supply chain for several reasons including:
Improved efficiency;
Increased margins;
To facilitate company growth;
To decrease the amount of time spent on supply chain management; and
To decrease the cost of logistics.
Some businesses are restructuring their supply chain by reshoring or nearshoring their productions, sourcing new suppliers outside of China, and investing more into technology and automation.
Learn more: www.gpsi-intl....
14 окт 2024
