A transparent digital supply chain will give you the insights you need for faster fulfillment.
- Same-day delivery is preferred by most consumers today, and supply chains must speed up to match that fulfillment speed.
- Fulfillment can be delayed anywhere in the supply chain, but if you can’t see where it’s happening, you can’t do anything to fix it.
- Promises made must be promises kept, or your customer satisfaction will take a dive – automation is the answer.
- Increasing numbers of consumers will abandon their shopping cart if they can’t get things when they want them, and this goes across verticals that include apparel, food, and beverages.
- Logility’s digital supply chain platform can help you capture your part of the predicted $9.2 billion growth by 2025 for same-day delivery.
It’s no secret that order fulfillment is complex with many moving parts. It’s also true that, in today’s competitive ecosystem with consumer demand for almost instant delivery, speed and efficiency are of the essence. Achieving this requires deep insight into the entire multi-stage supply chain, from order receipt to final delivery.
The economic sustainability of your business depends on fulfilling orders, of course. Preserving that sustainability and increasing profits depends on meeting market demand, which in turn demands increasing fulfillment rates to satisfy your customers. Achieving this goal requires optimizing your strategy with an aim toward perfect order fulfillment.
There are many places fulfillment can be delayed – from an antiquated order acceptance process to lack of inventory to logistical complexities. Without complete visibility into your entire supply chain, you won’t be able to see where it’s failing. If you can’t find the problem, you can’t solve it. It’s an information gap that can cripple your entire business. Equip your company for growth, improve fulfillment rates, reach new levels of efficiency, and increase customer satisfaction with a truly transparent supply chain.
A supply chain is only as strong as its weakest link
Your customers want what they want, and they want it instantly. Same-day delivery has taken hold. Many shoppers – 49% – say that same-day delivery means they will more likely shop online. Of those aged 18 to 34 who already shop online, 56% expect same-day delivery. Another 61% say they are willing to pay more. In addition:
- 51% of retailers already offer same-day delivery
- Of the remaining 49%, 65% plan to offer it within two years
To maintain a competitive edge, your supply chain must be able to deliver. Even among those who don’t expect same-day delivery, 80% expect same-day shipping. Many shoppers would abandon an order if they couldn’t get same-day delivery, and this applies to a number of verticals including:
- 22% of those who shop for apparel
- 24% of electronics shoppers
- 23% who buy food and beverages
- 28% who buy toys and video games
The compound annual growth rate for same-day delivery from 2020 to 2025 is predicted to be 20.31%, or $9.82 billion. This growth rate depends on increasing customer satisfaction through speedy and efficient fulfillment rates. So just how do you get there?
The path to customer satisfaction is transparent
Opacity is the enemy of supply chain management. You know; you’ve been through that tense, nail-biting meeting with a customer who wants to know where their product is. You know it left the manufacturer. It’s on a ship somewhere, you guess. Or maybe it’s tied up because someone didn’t fill out some paperwork along the way.
You check your ERP, but that’s to run your internal business, not your supply chain. You can likely see the order, and that’s it. It gives you no real-time insight into inventory, you have no real-time information at all about where your goods are in the supply chain, and you can’t tell your customer anything enlightening. You might have order management applications, some warehouse management software, and a variety of order-taking channels, but they still don’t give you what you need.
You need a cohesive, integrated solution that offers transparency to speed up your fulfillment rates and give your customers what they want. The Logility® Digital Supply Chain Platform delivers what you need to meet and exceed your strategic goals. Check out the following solutions on offer.
Automated order promising allows you to evaluate Available-to-Promise (ATP), Capable-to-Promise (CTP), and Profitable-to-Promise (PTP) inventory to improve customer service and model supply chain opportunities. This leverages an active digital twin of your supply chain to quickly determine the ability to fulfill a customer order. You can:
- Achieve complete visibility into customer order status
- Get instant notification of incoming orders with the information you need to analyze every detail to flag and mitigate problems before they happen
- Know inventory levels in real time so you know you whether can fulfill the order
- See fulfillment status in real time so, if necessary, you can adjust resourcing.
You also gain the ability to review the final profitability of the order. By leveraging in-memory processing and robust analytics, you can make faster decisions around how to respond to an unexpected opportunity, generate incremental revenue, and provide more proactive customer service.
Inventory planning and optimization
Optimized inventory gives you a competitive advantage when it comes to increasing fulfillment rates. You can create, evaluate, and optimize your inventory strategies and tactics throughout your entire supply chain network.
With increased visibility, you can see and consider all the interdependencies in production and distribution to avoid excesses that increase cost while making sure you have what you need to speedily fulfill orders.
Supply planning and optimization
It’s all about a strategy that synchronizes supply and demand – even in complex distribution networks and global supply chains – ensuring the most effective allocation of resources throughout your supply chain. With the real-time information offered by the Logility platform, your planning takes place in the real world, with current supplier, transport, and other constraints. By leveraging automation, you can consider a wide variety of replenishment scenarios to meet customer demands.
Today’s customer is increasingly demanding, with speed of delivery being a primary competitive differentiator. You can either cash in on this expanding market with a modern digital supply chain platform or sit by and ignore technological innovation at your peril. Remember Blackberry?
Logility delivers the solutions to meet today’s demands for fast fulfillment
Reinvent your supply chain to deliver what your customers need. Logility offers complete supply chain transparency to meet current demands and adroitly respond to changing market dynamics. By accelerating the digital sustainable supply chain, we help companies seize opportunities and more profitably manage their complex businesses.
The Logility® Digital Supply Chain Platform leverages an innovative blend of artificial intelligence (AI) and advanced analytics to automate planning, accelerate cycle times, increase precision, improve operating performance, break down business silos, and deliver greater visibility. We help you make smarter decisions faster – reach out to our team to discuss our supply chain solutions.