Global Sourcing Without Global Headaches
By Kurt Cavano, CEO of TradeCard, Inc.

A recent AMR study reported that getting data under control is often the first order of business for apparel and retail companies when attempting to manage the movement of goods. Traditionally, supply chain solutions have been limited in this area. Many solutions provide a link to direct suppliers for access to data but leave numerous visibility gaps in multi-tiered transactions when dealing with a supplier's supplier. In this case, control is lost. 

The average global transaction has 20-25 different touchpoints. Aligning all of these moving targets for supply chain collaboration is an extremely difficult - if not impossible - process. From capacity collaboration and raw materials staging through settlement, visibility gaps in the supply chain result in delays, excess costs and overall unhappy consumers. How can you ensure everyone in the supply chain is on the same page?

The best approach to supply chain collaboration in today's world of extended supply chains is to keep it simple. Automation and agility of processes are the starting point. AMR Research defines trading partner collaboration as functionality that enables secured access to data by outside trading partners that participate in the development process. This could include the shared entry of material or product data, the review and receipt of product specifications, collaboration on requests for quotation, and the ability to support joint development activities. When trading partners remove paper from the transaction process and collaborate on a single platform, there is less error, more efficiency, better visibility and new found flexibility from automation of processes. When this level of automation and collaboration is extended throughout the supply chain, all 25 touchpoints can essentially be on the same page. 

Keep it simple – even from an IT standpoint. Instead of heavy supply chain solution implementations that put a strain on operations, look for on-demand solutions that are easy to roll out and can easily tie-in your suppliers overseas. If an Internet browser is all that is needed to connect, everyone in your supply chain will appreciate the simplicity.

Keep it simple. This is a key building block for complex supply chains. Some steps to take include:
* automate processes from purchase order through payment and settlement
* connect with trade partners on an easy-to-use platform or SaaS
* take a holistic approach to the supply chain - "what's good for my suppliers is good for me"
* involve finance and sourcing executives in trade projects - they both have major stakes in trade efficiency