Birkby Blog

Supply Chain and Operational Visibility - Its Benefits for a Business and What to Look For

Written by Birkby | May, 17, 2022




In this day and age, it is essential to have visibility into all aspects of your business. Especially if your products are navigating their way to your customers. Working with a 3PL is one way to gain greater visibility into the supply chain and your other operations. 

Greater supply chain and operational visibility through a 3PL is primarily achieved through the large pool of technology and experience they can offer. These resources can make a huge difference in your operations. 

However not all 3PL providers are equal. Some providers are simply ill-equipped to provide the level of visibility needed to attain the benefits. 

Not having adequate visibility is where problems start to arise. Damaged goods, misdeliveries, expired products are just some risks companies face when they can not see into their operations. In this blog, we will discuss the benefits of a more visible operation and supply chain, as well as how a 3PL works with you to make these changes. 

The Benefits of Increased Visibility

There are many benefits to working with a 3PL to increase supply chain and operational visibility. These solutions can boost productivity and decrease the opportunity for issues to arrive. Below we have compiled a collection of the benefits of increasing your visibility. 

 

Reduced Risk

An obvious issue when having minimal insight into the supply chain and your operations is the increased amount of risks you and your business may face. These may be risks to your products, or your company as a whole. These can range from cyber issues to loss of money through poor optimization. The benefit of improving visibility within these sectors can allow businesses to operate smoother while risks are identified and thwarted before they pose any concern. 

 

Improved Performance and Performance Monitoring

Another area where it is beneficial to have insight into the happenings of your products and business is when trying to track performance and metrics. With minimal insight, it can be incredibly difficult to get accurate and timely data. The increased visibility can fix this problem as metrics and KPIs that were hard to track before, can be viewed easier from the data that can now be collected. 

 

Track and Fix Problems

Tracking your products, and preemptively solving problems are other benefits of increased visibility. 

Previously, once a product has left a facility, it is in the hands of a driver and the status and condition of said product are unknown until arrival. With increased visibility into the operation, products can be tracked and sometimes have live data updates on the condition. Since these live or constant updates are made available to businesses, the information can be used to avoid potential problems. 

For example, if your company needs to get your ice cream to a store and it needs to be cold chain compliant, without the added visibility a malfunction may occur early on with the transport refrigeration. With no way to know the temperature change, the product would likely melt before arrival and be refused by the customer. This particular issue could have been prevented through sensors which provide extra information and visibility. The sensors would have picked up the temperature change and alerted all parties to the problem so it could be fixed. 

 

Clear Data 

Another huge benefit of having increased visibility is the quality of the data provided. Without any form of visibility, it can be hard to acquire accurate and timely information. This can lead to inaccurate forecasts and more issues occurring later on. 

With the boosted insight into operations regarding your products, you can collect more meaningful and accurate data which can allow for more informed decisions about your business later. 

 

Less Inventory and Order Mistakes

The final area where increased visibility can be extremely beneficial is inventory management. An efficient inventory management system is not possible without insight into the supply chain and current operations. To have fewer mistakes with orders and inventory, accurate data and up-to-date customer info is a must and it can only be achieved through increased visibility. 

 

How does a 3PL help with this?

The benefits of increased supply chain and operational visibility are huge, however, it can be a struggle to implement the changes in visibility yourself. That is where a 3PL comes into play. A 3PL takes this out of your hands and puts their tech, knowledge and industry experience to work. The result is boosted insight into your operations and the supply chain, with minimal work on your end. 

 

Technology 

The technology a 3PL has at its disposal is significantly more robust than what many businesses can afford on their own. This technology can provide clearer visibility into supply chain issues such as transport, and delivery, as well as into operational practices like inventory and order fulfillment. 

 

Technology made available through a 3PL includes warehouse management systems, inventory management systems, order management, route optimization and more. All of these systems and technologies allow for not only greater insight into operations but also allows for more information being presented to you.   

 

Knowledge 

Alongside their technology, the knowledge a 3PL can offer is usually more valuable than their tech. With years of experience and understanding of the industry, a 3PL can help you look in the right places, and open up new levels of visibility; since they already know what areas are predisposed to errors.  

 

Resources

Coinciding with their knowledge are the resources at their disposal to help you. Most 3PLs have their facilities and distribution vehicles which allow them unprecedented access and overview of all supply chain and daily operations. This can be a huge help to smaller businesses who are wanting more visibility into their operations but don’t know where to start. 

 

Birkby Works to Provide You With Insight Into Your Supply Chain Operations

At Birkby we understand how crucial it is to have visibility throughout your operations. That is why we offer state-of-the-art technology and our 100+ years of experience to every client. 

 

Looking for a 3PL or Warehouse Provider?

Contact us today to learn more about Birkby’s comprehensive 3PL and warehousing solutions.