Black Swan in your supply chain (Corona-virus)

Some high-impact situations cannot be predicted, you can only react to them in the best possible way.

A 'Black Swan' is an incident that cannot be predicted, but has an enormous impact. At the moment, for example, you can see that the Corona virus is having an impact on supply chains worldwide. Companies that produce and deliver physical goods are now in the process of determining the impact of the epidemic on their supply chain. In addition, it remains uncertain how much the virus will affect your demand (people are more at home, so they will probably order more online). Either way, it will have an impact on your stock. Optiply can help you make sure the impact on your business is as small as possible. We have listed a number of possible measures below:

Measures

  1. It is important to keep more stock in case of uncertainty in deliveries. You can set this in Optiply by increasing the desired delivery reliability in the general settings. In addition, you can increase the expected delivery time of the suppliers. As a result, Optiply will keep larger stocks. This ensures that the customer's demand can still be fulfilled when deliveries do not arrive. This is especially valuable for your A-products. After all, more stock in this category does not result in dead stock, but only in somewhat longer stock time.
  2. Do you already have delivery difficulties? Then check if you can control the " demand ". Reduce the marketing on products and increase the selling prices, this will make products less likely to sell out and you will make better margins. Also check if there are similar products available that you can promote as replacements.
  3. Is a lot of purchasing too expensive? Then you can reduce the A category. By reducing this category and increasing the delivery reliability, the products that make the most margin will be in stock the longest.
  4. Strong discounting of the C category. By strongly discounting the C category, more money will be made available. This money can then be used to make purchases in the A category, for example.
  5. In the longer term, make sure you become less dependent on suppliers in another region. If a supplier is unable to deliver, it is good to look at other suppliers. It may be possible that another supplier does have these products. Our Multiple suppliers - functionality can help.
  6. Is something unclear or do you want us to think about it with you? Optiply is available during office hours so don't hesitate!

The supplier settings are processed at night. A new order advice will be ready the next morning.

Read on:

How do i purchase during lockdown?