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MANUFACTURING

The manufacturing industry plays a key role in the distribution of key production materials - relying on complex, free-flowing supply chain networks which distribute make-to-order goods to a global consumer base. This complex network includes suppliers, manufacturers, distributors, and retailers, all working together to ensure the seamless production and distribution of products. It encompasses everything from raw material sourcing to delivering finished products.

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The COVID-19 pandemic along with the current geopolitical climate have led to ongoing shortages, production delays, and increased freight costs. Inflationary pressures have led to increased prices for commodities such as steel, aluminum, and plastics – all of which are essential for many manufacturing processes – while the rise in fuel prices has significantly impacted transportation costs, making it more expensive to move goods throughout the supply chain. These disruptions highlight the vulnerability of supply chains that rely heavily on just-in-time (JIT) inventory systems and global sourcing strategies. Companies are now grappling with the need to build more resilient supply chains that can withstand such shocks.

Visibility and transparency are critical for mitigating risks, optimizing inventory turnover, and ensuring the smooth operation of the supply chain. However, many manufacturers continue to struggle with limited visibility into their supply chains, particularly at the tier-2 and tier-3 supplier levels, leading to DRIP (data rich, information poor) supplier insolvency, quality control problems, and ethical concerns, all of which can disrupt the supply chain and damage the company’s reputation. These ongoing concerns hinder an organization’s ability to perform material requirement planning (MRP), demand forecasting, or pinpointing Six Sigma strategies.

Improving supply chain resiliency requires better data integration, while promoting real-time visibility and collaboration with suppliers. Supply chain screening compliance is equally crucial in the manufacturing industry to prevent legal violations, avoid costly fines, and protect brand reputation. It ensures that suppliers and partners adhere to international regulatory standards, mitigates risks of counterfeit or unsafe materials, and supports ethical sourcing, ultimately safeguarding the entire production process.

KEYS TO SUCCESS

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SUSTAINABILITY

Customers, investors, employees, and government regulators are becoming increasingly insistent on reporting ESG (environmental, social, and governance) progress. Improving these best practices starts with screening vendors and suppliers – knowing where your materials are coming from, and where they’re going.

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QUALITY CONTROL

Ensuring consistent quality across a supply chain is challenging, particularly with diverse and geographically dispersed suppliers. Automation and real-time data analytics offer an avenue for identifying production issues before they escalate.

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COLLABORATION

Manufacturers must coordinate their schedules and logistics with those of partners and suppliers whose systems are likely incompatible and disconnected. Automation makes it easier for large, geographically dispersed workforces to manage manufacturing processes across sites and organizations by tracking resources, tasks, and budgets.

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ROUTING AND CARRIER SELECTION

Inflation and global freight costs can cut into a manufacturer’s profit margin. By evaluating various factors such as distance, shipping mode, and carrier rates, manufacturers can choose options that minimize freight costs while meeting delivery deadlines. Manufacturers can analyze historical shipping data and negotiate better rates with carriers based on volume and shipping patterns.

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DATA RICH, INFORMATION POOR

Manufacturers need to use data to its fullest – outdated systems and disaggregated data tables are key culprits in halting supply chain efficiencies. Varying customer demand can lead to challenges when maintaining optimal inventory levels and meeting production targets, potentially causing overproduction, or even stockouts.

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Valley Forge Case Study

Valley Forge stands out as a global leader in innovative textile and design manufacturing, specializing in window treatment solutions for the hospitality industry. Renowned among the world's top hospitality brands, designers, and purchasing agents, Valley Forge boasts over 50 years of expertise. Their committed team of product and design experts ensures a constant flow of the freshest, most sustainable, and desirable offerings, gracing travelers in the finest hotels worldwide.

 

The foundation of their success lies in strong family values, a dedication to technology and innovation, and a focus on people, customers, community, and the environment. Most importantly they seek to Impact the Happiness of Others. Behind the scenes, a team of project managers, logistics experts, technologists, and data specialists keep their robust digital platform operational from inception to completion.

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