Breaking down barriers to production in manufacturing

While there seems to be light at the end of the tunnel in terms of COVID-19, many organizations are still facing troubles and disruptions along their supply chains. While the manufacturing industry has been seeing positive signs of growth, there are still a few key areas that need some extra attention to ensure businesses keep up with the demands of their customers. Below we highlight the current state of the manufacturing industry and discuss some things that will  help create more sustainable and efficient processes.

The state of the manufacturing industry

Massive fiscal stimulus packages and increases in vaccination rates have helped increase the demand for manufactured goods, but this demand has been met with barriers to production in the manufacturing industry. With order volumes surging, many organizations are struggling with raw materials and transportation needs.

Not long ago, it was on a rapid growth pace, but now, manufacturing has slowed, held backby problems  preventing it from matching consumer demand. Much of these problems come from an inability to source certain materials and parts from suppliers due to the ongoing impact of the pandemic. What can manufacturers do to create a supply chain that is more reliable, efficient, and bottleneck free? The answer lies in embracing digital tools that will make collaboration easier.

Talk is cheap, and crucial

To stay ahead of the curve and ward off barriers to production, manufacturers need to create stronger, more valuable ties with their suppliers and buyers. While a lack of material goods might not be something you can easily fix, communication among your partners is something that can always be improved. And the benefits are clear. ..

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On tone hand, you and your suppliers benefit when both parties are aware of expectations and have access to real-time information regarding materials, shipping, and payment. In turn, this helps alleviate some of the irritation that your customers will have when faced with potential delays. By keeping all involved parties informed and in the loop at the state of orders, you can create a process that is founded on mutual trust and understanding. You’ll not only find more satisfied buyers and suppliers but also will enjoy a supply chain built more deeply around collaboration.

Put your money where your supply chain is

A strong, collaborative, resilient supply chain isn’t built  overnight, it takes time, effort, and investment. Luckily, you don’t need to work toward these goals on your own, there are many digital tools and platforms to help you connect more closely with your partners.

Some functions your digital tools or platform should include are:

• Networking and communication features — the best digital platforms and tools help you to connect with other suppliers and buyers, expanding your professional network. Additionally, a strong digital platform consolidates your communication channels enabling you to more accurately store and reference information.
• Automation capabilities — we’re all busy, and many of us don’t have the time to handle all the time-consuming and tedious tasks we have in a work week. The digital tools and platforms you invest in should have automation capabilities to help you complete these tasks. With the right tool, you can delegate more easily so you can focus on tasks that have the most critical business outcomes.
• Early payment plans — one of the biggest challenges that all businesses face  is securing payment for their goods and services in a timely manner. Look for a digital platform that not only supports early payment strategies but also rewards buyers for paying faster.

The Tradeshift Network offers unprecedented control. Our AI and automation features are easily customizable le to best support the needs of your team—and, with our collection of pre-vetted buyers and suppliers, you can always connect with a partner who will help you achieve your business goals.

As we begin to recover from the impact of the pandemic, organizations would benefit from implementing digital tools and technologies that strengthen their supply chains. Manufacturers need to be able to rely on an efficient, resilient process in order to keep up with the increasing demands of consumers. To learn more about how Tradeshift can help you elevate your supply chain efforts, contact us today and start making shift happen in your organization.