The steps of an analysis of supply chain
Compared to outsourcing alternatives, companies can obtain speedier, cost-effective, and possibly more precise results by conducting a DIY-style supply chain market analysis to ensure you have the data your business requires without spending huge amounts? ListTrader offers global inventory visibility for brands and distributors to eliminate guesswork, establish a common language with teams, increase productivity, etc., to help proper supply chain analysis.
Define your goals as well as your scope and profile
The most common objective is gathering key data to help improve business decisions and enhance your position in the supply chain. Because every business is different, ensure that you and your organization’s stakeholders are aligned before you begin this study.
Find out about the pricing structure and market for your product.
Research pricing for the product or service you’re interested in. elements like material cost, labor expenses, transport costs, energy and utility requirements, and overhead could affect the final price you have to pay. New laws that are in effect? It is time to discover.
List Trader helps wholesalers and distributors streamline merchandise trading with multiple-bid management, best price algorithms, wholesale market data, and a clean, organized dashboard.
Conduct an in-depth analysis of the suppliers
From geographical locations to customers, ensure your suppliers’ financial history and any legal or dangerous situations they might face. One of the frameworks that could prove helpful in this process is SWOT (Strengths weaknesses, Strengths, Opportunities threats) diagram. This will make it easier to assess companies against each other.
Find the most important market indicators.
Four indicators to consider measuring could be used to measure:
Economic Indicators: pricing trends as well as inflation rates and production rates
Pricing Indices– Consumer Pricing Index (CPI), Producers Pricing Index (PPI), and Import/Export Price Indexes
Employment Indicators: Unemployment claims the percent of the workforce who are fully employed
Production Measurements – Gross domestic product (GDP) Industrial production rate, as well as capacities utilization rates
Combine your findings and write the final suggestions
In this process, keep your mind on your business’s context and culture. In that case, your research can increase your company’s competitive edge, minimize your supply chain risk, and improve your position financially. The results from such an analysis can be extensive and extremely valuable.