Late Deliveries From Suppliers
Symptoms (What do you see…)
- Production stoppages.
- Failure to meet order commitments/Missed customer deliveries.
- Badmouthing the planning (ERP) system.
- Expediting.
- High freight costs.
- Excess inventory on hand.
- Low morale.
- Too much money tied up in inventory.
- Paying overtime.
- Customer Deliveries Missed.
- Production Interruptions.
- Expediting deliveries from supplier.
- Excess raw materials.
- Raw material shortages.
Causes (What you’ve got…)
- Unreliable suppliers.
- Order rules are wrong.
- Bad freight carrier.
- Production stoppages.
- Complex supply line.
- Complexities of international shipping (paperwork, customs, etc.)
- Poor data to supplier (Eng, planning).
Solutions (What might work…)
- Bring manufacturing back on-shore.
- Manufacture in-house.
- In-Source.
- Shorten the supply chain.
- Develop or hire skills in customs regulations, paperwork requirements.
- Find alternate suppliers.
- Negotiate new supplier relationships including penalties for late deliveries and premiums for on-time deliveries.
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