In the past decade, the possibility of selling products online has significantly increased. Customers nowadays can choose from a wide range of products made available through the internet, and can easily order their favorite products on their tablet or phone. Delivering the right product, to the right place, in the right condition, at the right time is something that covers the essence of an efficient supply chain.
Efficient supply chain management is important for online businesses due to its fundamental role in ensuring smooth operations and customer satisfaction. By effectively managing the process from the point of origin to the final destination, your business can achieve several benefits.
SensoriumArte made having an effective supply chain difficult because each product is unique and one-of-a-kind. This meant I had to discover how the supply chain would be most effective for this type of business. In today’s blog, I will take you through what supply chain management is, why it’s vital for your business, and how I optimized it for SensoriumArte to make sure that quality, delivery times, and customer service are at their best.
What is supply chain management?
In short, supply chain management is the handling of the entire production flow of a good or service - starting from the raw materials to delivering the final product to the consumer. To create an effective supply chain, you have to deal with suppliers, producers, warehouses, fulfillment centers, logistics companies, and the end buyer. It takes effective planning, execution, and control of these activities to ensure the right products are available in the right quantities, at the right locations, and at the right time.
The importance of a well-thought-out supply chain
Having an efficient supply chain is important for a variety of reasons. First of all, it enables businesses to have enough inventory at all times. Especially at the start of your business, it is important to do everything in your power to keep inventory levels sufficient. An increase in the number of sales for a few days can cause major problems in stock levels, leading to issues such as decreased sales, decreased employee productivity, increased lead times, and delays in shipping and delivery.
Another reason why you shouldn’t neglect your supply chain is that it enhances order fulfillment and delivery processes. Timely and accurate order processing, combined with effective logistics management can ensure that the customer will get their package in time. This helps with great testimonials, an increase in customer loyalty, and positive brand experiences.
ultimately, an efficient supply chain empowers online businesses to operate flawlessly, respond to marketing dynamics quickly, and deliver superior customer experiences. By optimizing all the stages of the supply chain, your business can achieve a competitive edge in the dynamic marketplace.
Optimizing the supply chain for SensoriumArte
Now that we’ve highlighted the importance of supply chain management, it’s time to explain how I handled the supply chain with SensoriumArte. SensoriumArte is a personalized wall art business that sells unique soundwave art. The customer can completely customize their artwork with our interactive customizer.
Production
Because of the customization options, each art piece that is created is a one-of-a-kind art piece. This eliminates the possibility of buying the art in bulk. We don’t know what to create until the order has been placed. With this information, there are a view options:
Buy printing materials such as paper, packaging, frames, and canvases in bulk and purchase a printing machine to create the art yourself. This is difficult as this is quite a financial commitment for a start-up.
Work with print-on-demand companies. Working with print-on-demand companies means that they have the materials and printing machines, and once an order is placed, they are responsible for printing the product and sending it out to the customer. The benefit of this is that you don’t need to buy all materials in bulk. Another benefit is that you work with an experienced partner who knows how to ensure quality and has the printing equipment that’s needed to deliver the best products to your clients.
I have decided to work with a print-on-demand company. As a start-up, it’s too expensive to order all the materials and invest in a printing machine. In the future, this would be a good option since production costs are significantly higher.
Because our product is unique and one-of-a-kind, production takes longer than people might be used to when they order a regular product. Because of this, my goal was to find a printing partner that has multiple locations in different parts of the world. This way, I can ensure two things: The availability of worldwide shipping and faster shipping times.
Fulfillment and Shipping
SensoriumArte offers non-refundable products because it is a customized product. Since this might not be ideal, I want to make sure that the product is of the highest quality. That process starts with the customizer. We have integrated a DPI enhancer, which improves the quality of the images that people upload. This way, most of the images people upload will meet the standards to be printed on a poster, frame, or canvas.
Then, once the order is placed, I double-check the order to see if everything went right; is the entire artwork filled, or is the image cut off incorrectly? I think it’s important to take time to do a pre-order quality control, to prevent people from getting something they are not satisfied with.
Sustainable practices
For me, an important element to integrate into the supply chain is sustainability. To do this, I spoke with multiple suppliers to see whether they use recycled materials and implement other sustainable methods into their business processes. I ended up working with someone who offers 50% recycled packaging materials, uses wood from renewable forests, and produces acid-free canvases and Ph-neutral.
Something that also appealed to me was the fact that their production facility and warehouse are something they combine, which means no additional shipping is needed before we ship out the product to our customers.
Customer service
While this may not be part of the supply chain at first, it is very important. If you think about it, one of the biggest reasons for having a solid operating supply chain has to do with giving the customers the best possible experience. I will go into the customer experience in more depth very soon, but it’s important to note that everything from stock levels, communication, and logistics needs to be on point for you to provide your product to the customer on time without compromising the quality of the product.
An effective supply chain is very important for businesses. For SensoriumArte, I had to come up with a supply chain that suited the customizable aspect of the product, without compromising quality, shipping times, customer service, and other key elements. By studying all of your options, communicating with different supply chain companies, and keeping the experience for your customers at the center of attention, you are capable of creating a streamlined supply chain that will positively impact your customers and your business results.
