Turning the Supply Chain Crisis into a Business Opportunity
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The ongoing supply chain crisis is slowing down production and pushing up prices. But there might be a way to turn this business challenge to your advantage. If you’re a business-to-business (B2B) supplier, this could be a golden opportunity to become a supply chain saviour.
If a competitor is struggling to supply customers, can you be the alternative that saves the day?
By delivering your goods to customers more quickly, more cheaply and with less hassle, you make your company invaluable as a local trusted supplier – and that’s great for your revenues.
Become the supplier that saves the day
Companies are crying out for reliable suppliers who can meet their needs. If you can streamline your processes and rethink your business model, this is a gap that your company is capable of filling. It just needs a few changes in thinking and strategy.
- Reduce the impact of the pandemic on your operations – none of us were fully prepared for the impact of the Covid pandemic. But, several years into the crisis, there are plenty of preventative measures you can take to protect your staff, reduce employee absence and offer a safe environment for employees and customers. By mitigating the negative threat of Covid, you make it easier to run your operations at full capacity.
- Focus on sustainability and providing for local customers – globalisation and ‘offshoring’ of the supply chain has increased choice and reduced costs. But a global supply chain has become increasingly difficult to manage when faced with the current geo-political challenges. By offering a local, sustainable alternative, you help your customers cut down wait times and reduce their carbon footprint. You also give customers a way to support their local economy.
- Review your margins to offer a competitive price – businesses are paying over the odds for scarce materials and supplies. Try offering a better price, while still maintaining a reasonable profit margin, so customers see the benefits of your cheaper, local alternative. The key is to streamline your manufacturing and logistics costs, using time-saving automation and economies of scale. By lowering your cost of goods sold (COGS), you keep your profit margin and can still offer an extremely competitive price.
- Update your systems and software to go digital – digital systems can do a lot to improve the efficiency of your operations. Modern cloud-based inventory, project management and logistics solutions help you automate the time-consuming manual tasks. This not only speeds up your pipeline, it also frees up time for your employees and management team to focus on customer-facing tasks. This resolves customer problems more quickly, provides a better customer experience (CX) and builds a trusted supplier relationship.
It’s possible that you already have business loans in place, that’s you’re gradually repaying over the course of the loan period. Sourcing that initial capital is such an important part of the startup process, and a vital stepping stone in getting your business idea operational. But when was the last time you reviewed these finance arrangements? Could you, in fact, be getting a better deal?
Talk to us about the supply chain opportunity
Taking steps to make your B2B business more attractive in the market is always a sensible move. But with the supply chain crisis set to continue well into next year, giving yourself a competitive advantage has rarely been more important for B2B companies.
We can help you review your business model and your key targets for the coming months. With the right plan behind you, there’s nothing to stop you maximising the supply chain opportunity and making your business the go-to supplier of choice.
