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How Supply Chain Affects ROI

This is the first of a series of four blogs about the best ways to use metrics to improve your business processes. Please check back in the coming weeks to read the whole series.


Your business relies on the consistent performance of its supply chain organization. The efficient flow of goods – starting with deliveries from suppliers, moving through your warehousing and distribution processes, and only ending when the goods are shipped out to customers – is critical to cost control, customer satisfaction, and consistent profitability.


But do you know how efficient your business's supply chain is? How about how supply chain affects ROI? It's likely that at least small improvements are necessary to increase efficiency, reduce costs, improve profits, and boost customer satisfaction.


How do you determine the efficiency of your supply chain? You use metrics, which are tools for measuring performance.

How Can Using Supply Chain Metrics Add to Your ROI? 

You can objectively review your supply chain's performance by selecting relevant metrics. There are generic supply chain metrics, but don't focus on those – it’s more important to establish metrics that are vital to your business's needs.


Choose metrics to add value in multiple areas.


Examples of metrics that may be appropriate for your business may include:


How Will You Know if the Metrics Are Adding to Your ROI?

There are basic processes for evaluating the results and managing the impact of your metrics on your ROI.

Once you've established your metrics, you must create "rules" for them:


Southeast Computer Solutions has years of experience in establishing clear metrics to help their clients meet their ROI goals. Our consultants offer a business process evaluation and assistance with choosing and measuring metrics. Contact us today to see how our team of professionals can help you evaluate and improve your processes to increase efficiency and maximize value in your business.  

Best Practices in Inventory Control Checklist

About Southeast Computer Solutions

Southeast Computer Solutions is based in Miami, Florida, and has additional operations in Mexico. For over 30 years, we have positively impacted the success of small and mid-sized businesses with effective business management implementations that improve our clients’ operations. We listen, we are accessible, and we care. Learn more by visiting our website or calling 305-556-4697.


Related posts

Using Metrics to Avoid a Performance Black Hole - How Supply Chain Affects ROI

By Jaleidy Tannenbaum May 8, 2016

Editor's Note: This post was originally published in November 2014 and has been updated for freshness, accuracy, and comprehensiveness.



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