Improving Turns

As with any manufacturing or product driven company, inventory turns are of the utmost importance. The faster the turns, the more profit the company is going to make and the better market shares they control. Supply chain management is the most important part of creating a flow with the most favorable turns. When looking at importing or exporting cargo shipping containers full of merchandise, what are the key performance indicators that should be addressed. In the supply chain, are there any weak links that need to be addressed? Is the factory packaging the materials for optimum speed or is your warehouse finding it more difficult to unload and therefore taking more time and more money to unload each shipment. Is your freight forwarder following through and giving the global shipping services that they promised? Is the shipping line that you are using known for being on time and within their quoted transit times? Sometimes there is more to finding a shipping line than just cheap international shipping. Cutting the shipping window by several days can actually help the turns and therefore help your bottom line. Trucking companies are also a part of this. Is your trucking company keeping up with your demands or are they costing your time a money by not being immediately available to pick up your cargo. As the saying goes, "you are only as strong as your weakest link". If you are finding that your turns are not where they should be, it is important to take a critical look at your supply chain.