While COVID-19 is impacting trade and investment, it is also creating new opportunities as we embrace new behaviours in various sectors from banking to healthcare. If you’re responding to changes and open to adapting, a reliable partner or 5PL could be key in turning the ‘bad economy, limited resources and lean times’ into ‘finding new opportunities and success by not doing things the way they were done before pandemic.’
Having the right 5PL can transform your business during these times while meeting new expectations and requirements. A 5PL will manage your supply network, including various distribution methods, collaborating between organizations and developing an e-business in a cost and value conscious way. If you are looking to pick the right 5PL to help re-build your supply network from the ground up or find ways for improvement, here are some points to keep in mind:
Select a 5PL who believes in communication
Since a 5PL handles not just a supply chain but a supply network, being on the same page to consolidate requirements, negotiate on costs and terms, and discuss innovative solutions and strategies is vital. Communication improves operations and flow, creates better relationships and reliance, and is a way to better respond to clients. This is absolutely necessary to grow and improve processes and businesses.
Keep it simple
Supply networks have become very complicated and so has decision making. If your 5PL can simplify the process, collate big data and leverage the information they’re getting from control towers, you will be in a better position to control costs and profits. Also look for automated processes and streamlining at distribution centres and warehouses. Efficient design, storage, and picking and retrieval systems which are built from the perspective of the customer keep things functioning in an advantageous way .
Going the extra mile
Secondary packaging is a key logistics component, but look for a partner who can go beyond. Your 5PL can support your sales with the delivery of samples, promotions and various marketing materials. They can train and assign a sales force – similar to what a management advisor would recommend. Even if you are a smaller player, there are benefits from being keyed into a sophisticated supply network and your 5PL can find opportunities to create more value and help you differentiate.
To address customer needs in the best possible way, companies should segment them into categories. These categories can be based on what triggers customer purchasing decisions, as opposed to a broad generalization. Enabling a more direct-to-consumer model and adapting the supply chain strategy to each customer and product, companies can drastically increase their income and a 5PL will show you how. ILC consultants are versed in how to rapidly adjust to changing market circumstances. We are always ready to react to our client’s necessities, whatever they are.
Trust to help build your brand
For years, ILC has been leading the way with innovation, dedication and flexibility and adding value for our customers in a competitive marketplace. ILC can manage your entire chain while ensuring seamless operations under the same management. From growing your market to handling all regulatory, commercial and logistical needs, ILC consultants have real-world experience and knowledge. Visit www.ilc.com.pa to learn more.