Small business owners often ship products out to their customers. However, unlike large businesses, a small operation often has limited resources and a small staff. These two factors often lead to oversights in their supply chain management.
If you are a small business owner, the following supply chain management mistakes could be detrimental to the success of your business.
Small Businesses Supply Chain Management Mistakes
Using a Non-Experienced Logistics Manager
If there’s one position your company should invest in, it’s a logistics manager. One that has keen experience and understands the intricacies involved in every step of the shipping process. Unfortunately, many small business owners overlook the importance of this job and instead, rely on someone who doesn’t have the experience necessary to get the job done right (a sales associated, for example). This can end up leading to serious disruptions in the shipping process and cost you major losses.
It’s also not uncommon for small businesses to mismanage their inventory. This can lead to major problems with distribution. For instance, you may not have a product available to ship out that a customer order. This can tarnish your reputation and lead to customer loss.
Effective shipping that works for your customers and your business requires research. It’s important to find out what the most cost-effective and affordable shipping options are. However, many small business owners fail to do the research that is necessary, which can end up:
- costing them money out of their own pockets
- delay shipping
- lead to dissatisfied customers
Lack of Crisis Management
When it comes to shipping, there are a number of crisis’ that can arise. A storm could prevent items from being shipped out or a computer system could crash, for example. It’s important to have a plan in place to manage any crisis that arises so that you can communicate with your customers and get them the products that they need in a timely manner.
Christopher Morgan Fulfillment
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