Supply chain complexity needs logistics planning simplicity

16/01/2015

The automotive supply chain is struggling with ever more complex and often contradictory challenges as vehicle manufacturers pursue increasingly diverse solutions to shifts in customer expectations and geographic demand.

To all fast-moving businesses wanting to be truly efficient, OSE is a special logistics partner, delivering unconventional ideas through sharp analysis, sound intuition and unparalleled experience.

Over the last 10 years, OSE has built relationships with and become an integral supply chain partner to a number of leading and high value companies involved in the automotive industry.

One major element currently limiting flexibility is the issue of conflicting lead times between suppliers. Ultra-responsive logistics provision is able to bridge fractures in the automotive supply chain as a short-to-medium-term response, but as operations become more convoluted a greater level of in-built contingency is required to ensure consistently robust protection of supply channels.

The greater importance placed on dependable freight is driving an alternate utilisation of traditional techniques. Premium freight services have previously been regarded as a contingency measure used only in emergency situations. Now it is increasingly factored in to the shipment schedules for high-value components. Dependable delivery, consistency of supply and time-certainty is more important that the initial freight cost.

The ability to develop complex supply chains that are also robust is borne therefore from a greater understanding of the degrees of freight and supply chain continuity, cost of failure and the measures required to safeguard optimised operational efficiency.

As awareness and knowledge of processes becomes more widespread throughout the automotive industry, logistics strategies are able to accommodate greater risk because total supply chain failure is safeguarded against through effective contingency.

As greater risk is accepted in pursuit of optimal production efficiency, the margin for error is reduced and potential issues are inevitable. With effective contingency, supply chain inefficiencies can be countered and impact reduced.

Emergency logistics and premium freight is increasingly recognised as being the solution to provide this barrier, reducing both the likelihood of complete supply chain failure and potential damage.

OSE European provide same day and next day express pallet delivery services, as well as complete logistics, haulage, freight forwarding and supply chain management from Newcastle upon Tyne, in the North East of England.

For more information visit www.oseeuro.com or call 0191 224 6710.