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Adding Value to Your Supply Chain

Demand to provide the optimal customer experience continues to escalate, and companies must continually seek out better ways to deliver customer satisfaction and retention. Many companies find that value-added logistics services help give their supply chain a competitive edge. Once limited to services such as shrink-wrapping, display building, and rainbow pallets, value-added capabilities now include everything from inscription and embroidery to configuring kits for e-commerce or inserting coupons or brochures in packages.

Wondering if it’s time to add value to your supply chain? Duane Sizemore, senior vice president, marketing and business development with Saddle Creek Logistics Services, examines how value-added services can benefit your business.

Luis Barton, Vice President of Global Logistics Solution

Get products shelf ready. Value-added services such as price marking, tagging, and display building help to streamline the process of getting products on store shelves. Enhance customization capabilities. Personalization is one of today’s hottest trends. Want to offer a choice of embroidered logos on apparel? Allow customers to choose the face plate for their cellphone? Value-added services can help you deliver.  With the ability to customize products, you’re able to stock fewer SKUs, thereby reducing the cost of carrying and managing inventory.

With automated solutions and careful review of supply chain processes, value-added services can help eliminate downtime and reduce the number of touches required in the packaging process—ultimately saving money on labor. Incorporating value-added services can be challenging. Experienced 3PLs can be valuable allies. They offer the flexibility and resources to accommodate unique requirements, seasonal fluctuations, and business growth. Many of today’s 3PLs approach value-added services with a spirit of collaboration.

8 Comments

  1. Extracting as much money from supply chain has been the traditional focus for businesses. One of the earliest examples can be seen in Henry Ford’s supply chain management strategy. Ford owned the ships that transported finished goods, the rubber plantations that provided rubber for the tyres, and the foundries that made steel.

    1. Personalization is the buzz word that is seen across all industry domains. Giving the customer more control and flexibility in terms of services is crucial to stay ahead of the race. Some ways to offer more control and flexibility is to offer ‘logistic menu cards’ where the customers select the mode of delivery and the associated price.

    1. The purpose of supply chains is to add value to production and distribution. Depending upon the markets and the value chains they are servicing, supply chains can be differentiated according to criteria such as costs, time reliability and risk.

  2. Competition across all sectors is higher today than ever before. The internet and highly sophisticated supply chains have made the world a smaller place meaning that consumers have more new options, and demands on a daily basis. This continuing trend means that businesses need to find ways to differentiate themselves, and added value remains a top solution to this challenge.

    1. Streamlining all tasks is essential to finding new efficiencies that allow you to meet the consumer demands of speed and price. Imagine if your product could leave the warehouse and go straight a store’s shelf. Price tags, markings, and other display elements added earlier in the supply chain make for a smoother transition to a point-of-sale.

  3. Customization is becoming a bigger staple for a wide number of products. Corporate logos, initials, and other personalized features all appeal to consumers and be the difference between winning and losing a customer.

    1. This continuing trend means that businesses need to find ways to differentiate themselves, and added value remains a top solution to this challenge. This means the supply chain in any organization has an opportunity to become a competitive advantage by including value-added features.

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