Mercado | Why it's critical to digitally connect the supply to the demand for improved visibility and efficiency

Insight – Why it’s critical to digitally connect supply to demand

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Insights: What I Learned In Supply Chain This Week Series
Why it's critical to digitally connect your supply with your demand
Tags: Digital, Supply Chain, Warehouse Management, WMS, Supply, Demand, Global Trade, Trade Wars
Dallas-based startup empowers businesses to optimize international trade.

We just started working with a direct to consumer client who is “buried'” right now as their online orders have overwhelmed their Warehouse Management System (WMS) and labor.


Their entire team is working from the distribution center as it's all hands on deck to try and keep up.

Did the fire get lit by the uptick in online orders, or was there another issue?

Typically a good inbound forecast determines how well this upsurge in demand can be met. We asked how they keep track of their “supply” status and how much visibility they had to it.

The answer — Zero. Only emails and Excel sheets, neither of which are connected to their WMS or CRM.

So each container that arrives is essentially a 'treasure hunt'.

They place their orders four months in advance, so in theory they should have a four-month lead on planning and receiving. Four months versus zero would obviously make a huge difference for sales and customer service.

However, they are not currently connected to their suppliers digitally…so there's no good way to connect the two dots of supply status and customer demand.

Critical to digitally connect the supply to the demand for improved visibility and efficiency. Agree?
ABOUT THE SERIES

Each week, Mercado CEO Rob Garrison pens his latest learnings from the supply chain industry as part of a series run for his LinkedIn followers. Each article aims to share a little insight into what's going on that week and to help foster discussion amongst industry professionals across levels, geographies, and companies.

You can connect with Rob on Linkedin by following this link.
GT Nexus founder and supply chain industry veteran, John Urban, has joined the Mercado board of directors.

We just started working with a direct to consumer client who is “buried'” right now as their online orders have overwhelmed their Warehouse Management System (WMS) and labor.


Their entire team is working from the distribution center as it's all hands on deck to try and keep up.

Did the fire get lit by the uptick in online orders, or was there another issue?

Typically a good inbound forecast determines how well this upsurge in demand can be met. We asked how they keep track of their “supply” status and how much visibility they had to it.

The answer — Zero. Only emails and Excel sheets, neither of which are connected to their WMS or CRM.

So each container that arrives is essentially a 'treasure hunt'.

They place their orders four months in advance, so in theory they should have a four-month lead on planning and receiving. Four months versus zero would obviously make a huge difference for sales and customer service.

However, they are not currently connected to their suppliers digitally…so there's no good way to connect the two dots of supply status and customer demand.

Critical to digitally connect the supply to the demand for improved visibility and efficiency. Agree?
ABOUT THE SERIES

Each week, Mercado CEO Rob Garrison pens his latest learnings from the supply chain industry as part of a series run for his LinkedIn followers. Each article aims to share a little insight into what's going on that week and to help foster discussion amongst industry professionals across levels, geographies, and companies.

You can connect with Rob on Linkedin by following this link.
Mercado | Bring Order to your Imports
                                               
© Mercado Labs Inc.
From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.
Mercado | Bring Order to your Imports
                                               
© Mercado Labs Inc.
From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.