The Secret To Monitoring your goods In Transit To Achieve A “Just-In-Time” Strategy

Just in time is the principle of having goods ready just as they are needed and not before. If you can get the strategy right you will be able to offer instant fulfillment of orders without the expense and risk of manufacturing products and storing them.

Of course, there are several obstacles to a successful just in time strategy:

Delivery Problems

One of the biggest issues that every business faces is supply. When you have produced just the right amount of goods for a customer and they are damaged in transit, you suddenly have nothing to offer them. This can be damaging to your reputation and is likely to leave you arguing with the transport company regarding who is to blame.

Fortunately, there is a solution to this dilemma. Alongside finding a reputable courier service that is focused on offering the best possible service, you can use data loggers.

Data loggers are devices that monitor the transport conditions. They can tell if products are stored outside of the required temperature range, if the number of boxes stacked on each other is too high, or if the products have been subjected to excessive impact.

The data loggers effectively tell your customer that the item has been shipped safely and is in the same condition as when it left you.

This helps to apportion blame if necessary and gives you the confidence to dispatch goods on a just-in-time basis.

Without a quality courier and data loggers, it is impossible to guarantee that the goods will be looked after properly and delivered on time.

Variable Demand

Another key issue with the just-in-time approach is the inconsistency of demand. Few products are required in a steady pattern allowing you to predict supply accurately.

The best way to deal with variable demand and ensure that you have products available quickly when needed is to partially make them.

This reduces the value of your inventory but still allows you to quickly create products when they are needed. If you have the same base components for several products this is a very effective method of staying on top of demand.

Even with just one product to be manufactured, you can adopt a partial approach. Simply select the pieces that are most durable and practical to store. You can then be ready for almost any size order while maintaining production for the demand you think you will get.

Tracking Supply

The most effective way of estimating the number of products you will need at different times of the year is to look at previous trading periods. Providing you have been trading for several years, a look at the records can help you identify the highs and lows in demand throughout the year. This will make it easier for you to prepare your production process.

Of course, looking at information from previous years must be done in conjunction with current marketing efforts. If you are looking to expand your customer base you’ll need to take that into consideration when creating a production schedule.

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