As you may already know, buying a TV does not begin at the store. There is a long journey before it arrives which includes assembly of multiple parts in multiple factories and being shelved in storage. Then the TV is transported by sea, air, or ground to the store it is sold at. Everything is connected. If even one of these steps of the supply chain is disrupted, production stops, which leads to unsatisfactory relationships and angry consumers.
It is important to think about your supply chain when working with government entities. It is not uncommon to run into issues such as rising gas prices or unpredictable weather. Looking ahead to control supply chain costs is a major factor when considering your budget and working with government agencies.
Supply chain weaknesses can take the slow form of a demand shift to a worldwide epidemic such as Covid. It is hard to know exactly when an unpredictable event will arise, but being aware of possible weaknesses in your supply chain can lessen the impact. Here are some issues to take into consideration when planning your budget:
Supply chain disruptions are inevitable, but you can work proactively to lessen the blow. Establishing some of these practices within your business structure will help you to keep costs down while also helping your chances of winning lucrative contracts.
Transparency standards are important when working with government entities. Get to know your suppliers and their suppliers. Include in your supplier contracts that they must abide by your standards regarding diversity, sustainability, and ethical practices and that these standards must flow down to their suppliers. Diverse supply chains are more agile and resilient against supply chain disruptions and ethical sourcing will protect your supply chain against modern anti-slavery laws. Also, having sustainable practices in your business model will certainly highlight your business to government procurement personnel.
One trend to safeguard against future disruptions is reshoring, which includes moving some or all of your company’s supply chain out of countries with lower labor costs. Being closer to the manufacturer with fewer transportation and transparency issues is worth the rise in labor costs.
A sure way to safeguard your supply chain is by investing in advanced technology such as tracking software and cyber security. Knowing every step of where your product is and when there is a disruption in real-time makes it easier and quicker to dissolve supply chain disruptions.
Knowing that a cyber-attack is imminent, being able to protect your assets with modern superior cyber security and technological software informs the government agency that you are serious about being a reliable supplier.
Government entities are very aware of supply chain weaknesses, and many are even mandating some of these protocols. Taking the time and money to implement these safety protocols into your supply chain will certainly pay off quickly. You can purchase a bid subscription with Periscope S2G to start finding bids in your area. As you are responding, be sure to highlight these quality features about your business as it will certainly give you an advantage over your competition.