5.
Global suppliers can result in a loss of control
A global line of suppliers increase the risk of loss of control. Who has responsibility for safety protocols, quality testing, expenses, and labor?
Extended delivery times can result in a lower level of control. Companies relying on global suppliers often does not possess the same amount of overview.
A high level of precision is also essential when it comes to consumer satisfaction and if you outsource parts of the supply chain, the risk of error could increase.
Solution
Creating a unified unit of suppliers and educating them well. Thereby ensuring consistency and lower risk of errors.
One central logistics center flanked by smaller hubs of suppliers in different countries around the world – all working towards the same goal and through the same procedures.
For other companies, starting with a simple solution to test compatibility and efficiency benefits will be the better and less risky choice.
