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Improved customer experience will always be a game-changer especially in retail, manufacturing, and wholesale distribution. Here the customer experience is vital and number one priority. Conversely, it’s one of the exponentially growing challenges for many small-to-medium enterprises with legacy systems and tedious work cycles. Having the right supply chain management strategy will certainly have an impact on business growth and customer loyalty. Emphasizing it further, 79% of companies with high-performing supply chains report significantly higher revenue growth than their industry average.

Here, we discuss the top 6 KPIs that can make or break the supply chain management strategy for accelerated sales and business growth.

Inventory accuracy: Supply chain management strategy and its significance

Inventory is the linchpin for any retailer or wholesale distribution company. Its accuracy compares the items that are in stock to what your ERP software suggests. Discrepancies in inventory management will impact the order management, overstock or understock, and reduced customer satisfaction. If your inventory and ERP systems are not shaking hands together, it imposes a negative impact on the supply chain management strategy.   

A recent survey found that 70% of shoppers will go to a competitor rather than to wait for an out-of-stock item. So to retain customers, a retailer must have stock on hand. [2

On-time delivery

In today’s fast-paced industry, customer expectations are changing rapidly as our shopping habits and business processes evolve. In retail, customers usually expect delivery of goods without any delays. Having the right supply chain management strategy in place ensures real-time product tracking and eliminates delivery issues. A modern cloud ERP software such as  NetSuite enables real-time product tracking and effective logistics management. 

Average days late

For manufacturing businesses, it’s one of the vital factors to consider in strategizing supply chain management operations. This KPI enables you to understand how many days a product spends in your factory, warehouse, and on the road. Undoubtedly, this would help you in understanding the inefficiencies of your SCM and areas to improve further. 

NetSuite ERP software allows you to diversify customer database to prioritize larger orders or big-box customers. Therefore, it won’t impact the big-box customer satisfaction.   

Order accuracy

Order accuracy deals with right from order placement to shipment to product delivery. It’s another considerable performance indicator of supply chain management to track how accurately you can deliver a product without any damages and delays. 

Here, both the shipping time as well as the delivery time are respected. NetSuite ERP ensures flawless freight management by integrating your SCM with external key shipping providers. Furthermore, NetSuite ERP comes with a real-time push notifications feature that enables both company and consumer to track order status.

pic credits: freestyle solutions

Customer order cycle time: Optimize with supply chain management strategy

It indicates the time between order placement and fulfillment. If your supply chain management strategy could reduce the time between them, it would help you with improving customer satisfaction and loyalty. However, with legacy systems, it’s a hard deal to achieve optimized customer order cycle time where order processing and tracking are critical. 

NetSuite ERP solutions automate every step involved in order placement, processing, inventory management, shipment, and delivery. Thus, you can provide the best services to enrich the customer experience. Above all, the optimized order cycle time helps retail or eCommerce companies who promised to deliver their products within a stipulated time frame.   

Inventory turnover

Having a high inventory turnover is good for your business growth. A perfect supply chain strategy will give you insights into fast-moving goods and thus save shelf space in your warehouse. NetSuite enables seamless integration between your warehouse management system and ERP to ensure real-time visibility into inventory maintenance. This, in turn, helps in forecasting to keep your inventory moving. 

A perfect supply chain management strategy will always win the game and meet the needs of new-age customer expectations. Do you have any plans to integrate your inventory and supply chain with NetSuite ERP? Get in touch with Chris Dynek, one of our NetSuite ERP Consultants in Tampa, Florida.