We probably don’t need to remind you that Inflation is at a 40-year high. You’re likely feeling the impacts every day, at the store or where you source supplies for your business. Logistics and transportation of goods are at historical highs as gas prices soar.
Recent global events have lead to the disruption and expansion of production lead times, labor shortages and, in some cases, factory closures all together. Unsurprisingly, these bottlenecks cascade down the system so that the cost you are paying for the goods is significantly higher than a couple of years ago and waiting twice as long to receive it. In many cases, small businesses are unable to pass on this additional cost to their customers.
What can be done to curtail the supply chain issues we’re up against and make systems more resilient to future disruptions? How can we streamline workflows so that they work more seamlessly, even when there are labor limitations? Here we explore some ways businesses can protect themselves from future negative disruptions:
Reshoring
Companies’ reliance on low-cost labor in other countries became incredibly apparent during the early days of the COVID-19 pandemic. As factories in Asia closed, for example, it caused waves that could be felt all along the global supply chain, some of which have still not fully recovered.
One obvious way to lessen logistical lead times is through reshoring. Processes that can be reshored and automated offer certainty and are far more manageable than overseas facilities. By reshoring, local companies can remove the risk of unpredictable government policies and the communication issues associated with great distances, while reducing shipping delays and drastically improving reaction time to any disruptions that may present themselves – all, while stimulating local economies.
Digitization
Many tasks could now be digitized. In the apparel industry, for example, pattern-making, proofs and other areas that once relied on physical assets can now be accelerated with digitization. Similar to reshoring, digitization reduces the complications that come with shipping delays and supply chain issues.
Automation can turn fixed costs to pay-as-you-go
One obvious solution to tackle demand spikes is to use automation for key processes. Although this objective would have once been deemed impossible due to demand volatility and the high minimum order quantities associated with traditional supply chains, on-demand manufacturing is enabling firms to do just that: produce products when there is a demand and without minimum order quantities.
Automation obviates the need to keep additional machinery, inventory or extra staff to meet sudden demand surges, essentially allowing you to pay-as-you-go for production as you sell. Consider for example the apparel industry. Instead of keeping a large inventory, or additional staff, consider an automated solution that allows your customers to design and then converts the designs to size-graded, nested, print ready files with the team name and numbers, ready for production in minutes! Such a system could reduce your fixed cost, while providing visibility on timeline, production cost and workflow.
We are here to help
If you are in the custom apparel or team wear business, we are here to help. From consumer personalization, print-on-demand, bespoke fashion to custom sportswear and sublimated teamwear, we can help with technology for a digital future – mass-customization, on-demand production and online commerce.
Our 3D product designer integrates with most ecommerce platforms, making it easy to publish customizable designs to a consumer-facing portal quickly and efficiently. Your customers can then choose a product, change colors, add logos or team lettering, customize in real 3D and place their orders. Once a custom order is placed, our patented technology automatically generates the size-graded, nested, print ready files with the roster name and numbers, ready for production in minutes!
For more information or to schedule a demo, visit http://www.vPersonalize.com or email us at hello@vpersonalize.com