Analysis

How to Leverage Production Insights to Ship More Efficiently

September 26, 2024
Ram Radhakrishnan
Founder & CEO

SUMMARY

lead times, delays, errors, or lack of necessary raw materials can lead to wasted resources and poor customer satisfaction. However, the use of production insights can significantly improve this situation.

Transforming raw materials to finished goods is a core aspect of the supply chain, but it has been known to negatively impact the shipping process in many cases. The usual suspects, such as longer than anticipated lead times, delays, errors, or lack of necessary raw materials, can lead to wasted resources and poor customer satisfaction. However, the use of production insights can significantly improve this situation.

By utilizing production insights, businesses can collect and assess relevant data on each production stage, schedule, and process as a whole. This way, companies can easily identify bottlenecks or better allocate resources to improve process efficiency and working conditions. It allows for more precise tinkering until the production process successfully aligns with shipping expectations and inevitably enhances customer satisfaction.

Gathering and Analyzing Production Insights

Production insights are powerful for businesses seeking to optimize their supply chain operations. They help promote informed decisions across the supply chain. However, it must be accurate before it can work, starting with the ability to gather information the right way. The following shows how to ensure accurate and relevant production insights that can transform the system:

Data Collection Methods

These are the more common strategies for collecting data or insights from the production process.

1. Logging

This entails capturing real-time and detailed data on the production system's performance, including the activities of the personnel involved.

2. Monitoring

Through monitoring, the production process is observed to identify issues immediately as they occur. This way, the issues can be easily fixed to reduce the potential for a much larger disruptive issue.

3. Analytics

Production can be a complex mess of machines, people, and processes, and obtaining information from it can be problematic. However, with analytics, the entire production process is broken down into digestible information, making it easy to spot patterns and trends that influence production and shipping performance.

4. Customer Feedback

Sometimes, it appears there is no problem until the customers complain, which is why their feedback is so critical. It allows businesses to review the production process from the customer's point of view, enabling much more targeted improvements.

Key Performance Metrics to Track

When searching for production insights, you must meet certain criteria for the right information.

1. Performance Metrics

The team should monitor the efficiency of the production process. Relevant metrics like response time, error rate, and waste could accurately depict the process.

2. Lead Time

The lead time tracks the time it takes the system to manufacture products. It would also factor in the quality and quantity produced to correctly determine the number of shipments ready for shipping after a specific time. That detail could tell a lot about the production about the production system and process.

3. Customer Behavior

This tracks the customer's interaction with the product, including usage patterns, duration of use, repurchase frequency, and final product disposition. This way, the business can determine whether or not the product is ready for the market, and for the shipping, it also determines whether the current process works.

4. Business (interests) Metrics

From this perspective, businesses are looking to determine factors such as sales, revenue, product recalls, and customer satisfaction. It might be time for a change if the current production standards do not ensure positive impacts in the mentioned list.

The Place of Third-Party Factory Inspections

Sometimes, the production line can be challenging to analyze accurately, especially considering how it can enhance the shipping process. This is usually because the team involved may not understand the dynamics of the shipping process and how relevant the production is to enhancing those dynamics. 

However, by leveraging third-party factory inspections, the business can involve external experts to assess the manufacturing systems, including timing and potential delays. The inspection process allows the business to collect vital information that allows it to transform productions, including shorter lead times, improved throughputs, and a more efficient shipping process.

Silq, a digital freight forwarding platform with robust and experienced factory inspectors, offers factory inspection as a way for businesses to enjoy a fresh perspective while enhancing the outcome of the entire supply chain management, especially in the shipping process. It also allows for better alignment of shipping needs.

Leveraging Production Insights For Efficient Shipping

The supply chain involves numerous processes, with manufacturing/production and shipping being two of the most critical. The latter relies heavily on the former, and optimizing the production will inevitably improve overall business and supply chain operations. However, it is all predicated on production insights.

Here is how businesses can use production insights for better shipping:

1. Identifying Bottlenecks and Optimizations

Optimization cannot begin until the problem is known, so production insights are invaluable for manufacturing businesses.

The business or supply chain can effectively profile the process's performance by identifying slow or problematic tasks through production insights. This allows the business to take appropriate steps to optimize the problem.

2. Seamless Integration of Solutions

With production insights, the business can deploy solutions to certain problems on a small scale because it understands them. This way, the production-to-shipping process continues with minimal interruptions, and the business can vet the solution and see if it works for the entire process without disruptions to the shipping process.

For instance, leveraging automation to increase the speed of the process. Sometimes, there might be an issue with the coding, and switching the entire process can be devastating to the supply chain.

3. Reduce Operational Cost

It is not uncommon to find a business that has leveraged shipping solutions but is unable to meet the timing because of a poor manufacturing schedule. This leads to financial losses, which can impact profitability.

However, production insights can help align production outputs with shipping timelines. This way, businesses can ship when needed without missing deadlines and losing out on paid services.

4. Regulatory Compliance

With production insights, the business can easily see the shortcomings of the manufacturing process, especially where it is failing in regulatory compliance. A typical example of this is failing to meet the standards of the country in which the product is being shipped.

How Silq’s Inspection Transformed Shipping for a Textile Brand

A mid-sized textile and clothing brand struggled with delayed shipments because it wasn't ensuring product quality and timely deliveries. Silq, a digital freight forwarder offering third-party inspection, was contacted to help. Stepping into the situation, Silq assessed the entire process, from sourcing materials to final product assembly. 

Silq identified key inefficiencies and quality control issues. The digital freight forwarder recommended changes that improved production speed and reduced defects. The result? The business saw a 20% improvement in shipping times and a 15% return reduction. The improved efficiency enhanced the brand's reputation and allowed it to meet growing customer demand without increasing costs.

Leverage Silq’s Inspection To Improve Shipping Operation

Silq is a digital freight forwarding platform that prioritizes on-site inspections to help you improve product quality, compliance, and on-time delivery. We are in the business of ensuring your shipping process goes smoothly. With Silq, every step of the supply chain, from sourcing to production and then shipping, is planned to ensure the business's overall success. Get started here.

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