LONDON--(BUSINESS WIRE)--Supply chain collaboration is one of the most efficient ways to foster innovation, reduce costs, increase business opportunities, and establish long-term success for all businesses involved. However, it is an involved process that can be difficult to carry out without the right resources, preparation, and partners.
SpendEdge is a procurement market intelligence firm that helps leading companies across all industries. Acting as a strategic partner, SpendEdge brings excellence to procurement strategies and supply chains. Here is their list of the top 10 ways to successfully implement supply chain collaboration:
Top 10 Ways to Implement Supply Chain Collaboration
Identify mutual goals: Partners need to align priorities in order to maximize efficiency, which means knowing what you and your partner want to achieve through supply chain collaboration and how it will benefit both parties. Whether the main focus is to increase profits, lower acquisition costs, or accelerate entry into new markets, these details need to be discussed in-depth between partners.
Engage in long-term collaboration: Supply chain collaboration is often most successful over the long term in comparison to short-term benefits. Benefits to long-term collaborative supply chain relationships include more innovation in terms of overcoming problems and challenges, as well as in terms of creating new products, services, and opportunities.
Use sophisticated benefit-sharing agreements: In situations where collaboration benefits one member over the other, both parties can create a benefit-sharing model. An example of a benefit-sharing model would be between a retailer and manufacturer who expect unequal benefits from their collaboration. In order to make the benefits equal for both members, the party who benefits the most, can agree to absorb certain costs, offer cost reductions, or provide additional financial compensation to the other.
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Collaborate in areas of shared stability or success: Always play to your strengths. Engage in collaborations that take advantage of the strengths that your business and your partner already possess rather than to use collaborations to fill in gaps or compensate for weaknesses.
Optimize your workforce and infrastructure: Having the right staff, resources, and organizational systems is crucial for collaborations to be successful. Senior level employees need to ensure that communication throughout the organization is strong and that all employees are aware of the vision and goals that the partners share.
View the entire list of ‘Top 10 Ways to Implement Supply Chain Collaboration’ from SpendEdge
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