Encompassing the entire lifecycle of product creation and distribution, the supply chain can easily be called the backbone of any apparel manufacturing business. It involves a large set of activities that are performed to transform the raw materials into the desired end products. Supply chain management, as the name suggests, is the process of managing raw materials and other resources along with their movement throughout the production floor. In simple words, this is a combination of several complex operations that are performed to keep track of everything.
In today’s time, when businesses are on the constant lookout for ways to maximize their productivity, the importance of an effective supply chain cannot be ignored. The most important thing is that it should be done in a way to ensure the availability of the correct resources in the right place, at the right time, and in sufficient quantity. This can not only help maximize productivity but also reduce operational costs.
Supply Chain Digitisation
Gone are the days when businesses used to rely on manual data recording to track the flow of raw materials, goods, and resources. In the current landscape, where every business is making a move towards digitization, the apparel industry is no exception. With time, more and more apparel businesses are considering supply chain digitization as the way forward.
Here are a few key benefits of digital supply chain management system in the textile industry:
Minimized Lead Times
In present times, customer expectations are constantly rising, and businesses are making consistent efforts to offer them what they want. In such a scenario, there is no scope for a longer wait time, be it for procuring raw materials or delivering end products. The most important benefit of supply chain digitization is that lead times can be massively reduced.
Just-in-time (JIT) Manufacturing
Earlier, JIT manufacturing was not easily accessible for every business due to the high cost involved. But thanks to digital supply chains, businesses can ensure that all the critical decisions and deliveries are pushed to the last minute.
Eliminate Glitches
In a sector as fast-evolving as the apparel industry, understocking and overstocking can both imply a revenue loss for the business. A digital supply chain can ensure businesses have an exact idea of their customer's requirements and have just enough supplies to meet their demands.
Better Financial Management
With reduced lead times and a JIT manufacturing approach, the capital requirements of a business can be reduced. This also means that less money will be tied up in keeping excessive stock in the warehouse. As a result, the cash flow in the organization automatically improves, leading to better financial management overall.
Plan to Action
Now that you understand the importance of supply chain digitization in apparel business, the main question arises: how to do it the right way? The simple answer to this is to use an efficient and reliable supply chain management system. Although there are a number of options available, it is important to choose one that matches the specific requirements of your business.