We all know how deep the cutbacks were at all points in the supply chain in the past 2 years. Inventories, headcount, system and upgrades have been slashed, made redundant and delayed respectively. We have all seen pictures or personally witnessed all of the decommissioned cargo ships and aircraft in Asia.
The good news is that in many sectors, business is starting to pick up. With this pick up of business come some of the problems we have not seen for a while. Delivery issues, missed commitments, stock outs at distributers and allocations. This of course comes at a time when staffing needed to deal with these issues is really not available. Here are some things to do that can help that don't take lots of extra time from your already stretched staff.
Forecast:
We all make them; how well have we communicated them? Of course we have been talking to our key suppliers, but the funny thing is that the product cannot be built if it is missing even one part. Your friends in IT can help sending out an e mail to every supplier with a forecast. Show them your optimistic one and ask them to respond with information regarding their ability to meet your needs. You may actually flush out issues, or at the very least, you have let them know your intentions.
Supplier Checkup
Those of who will admit it will tell you that there are suppliers of current material that they have not placed an order with for more than a year (sometimes longer). In some cases tooling will be disposed of, or worst case the supplier is no longer in business, a victim of the recession. How many PO's will you have difficulty placing? These suppliers need a little extra attention right now. Get a list of these and other low volume suppliers as well as those with historical delivery issues. These should be contacted with some specific questions. Have any products gone obsolete? Plants shut down or consolidated? Locate your tooling at these suppliers. Suppliers with issues here merit a visit, as there is nothing better to gain visibility and priority than this.
Internal Review
Most companies have been working with a mind set of, "how can we get by with as little as possible". Some have no doubt pushed a lot on their current people with the bet that business would be slow and they could cope. The best and the brightest are most vulnerable here; as they probably have the biggest loads and are most likely to get offers from other companies as the business comes back. These will be even more tempting if they fell overwhelmed and unappreciated.
It is time to look at how work is allocated and review processes. Let keep in mind folks are already working hard and may not take kindly to a lot of new projects or meetings. Instead, a lunch meeting or 2 to ask for ideas on work simplification and process improvements. Meet informally with individual to understand workload and get ideas on better distribution, as well has hiring ideas for that magical day when hiring is possible again. This may bring some issues into the open in time to more easily address them. It will also help your team to feel appreciated and listened to. This is something that also may have been in short supply due to your overstretched work life.
Upturn? Bring it on……
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