Your Business March 2020 - 241

Logistics
in writing concerning the level of
service you expect, including an agreed
lead time from order to delivery, which
will help you with supply planning.
You don't have to stick to just one
supplier. If you have more there will be
less of an impact if one lets you down.

Keep them safe

Once your supplier has delivered
the goods, you need to store them.
As a startup, you may not have
substantial funds for storage on
your own premises, so outsourced
warehousing could be the answer.
Flexible storage options -such as a few
shelves in a big warehouse - will cut
down on budget, but make sure you
still have all the facilities you need. 
Whether you need a small storeroom
or a full-sized warehouse, decide on
the right level of security and whether
you need climate control. A warehouse

management system that is integrated
with order management may be pricy,
but it will help you monitor inventory.

Now deliver

When sending goods to customers,
keeping the packaging sizes standard
- whether pallets, boxes or padded
bags - will reduce costs. Customers
always want free standard delivery, but
you should set a minimum order value
and charge extra for next-day delivery.
If your product is something needed
at short notice, you'll need to charge
for immediate delivery. On the other
hand, if your customers' main priority
is keeping the price down, offer free
delivery with a longer lead time.
This will allow you to hold a smaller
inventory and order from your supplier
as necessary. Good delivery and
customer service will build trust and
help to ensure you get repeat custom.

Good delivery will
build trust and help
you get repeat custom
Dependable distribution

To overcome the logistics challenges facing SMEs, you need to be
fully informed - and get creative, says CitySprint's Rosie Bailey
The supply chain presents a number of barriers for SMEs, including high
costs, lack of collaboration, fluctuating demand cycles, sustainability,
difficulty finding the right partners to suit their business needs and
inefficient infrastructure. Our research revealed that Brexit uncertainty has
already cost SMEs an average of over £1m in lost revenue, so businesses
should find all the information they need - from both the government
and trade bodies - to understand the potential impact of leaving the
EU, which has particular ramifications for the supply chain. One thing
we recommend is forming partnerships with other businesses and
suppliers who have similar goals to help navigate the challenges ahead.
Because CitySprint has a wide range of delivery options, many
SME owners ask us to help solve their distribution challenges.
Whether it's operations, fleet management, technical support or
data analysis, we have people with the right knowledge in the right
places. We have service centres across the UK, which means we can
support SMEs with their national expansion and growth plans.

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Your Business March 2020

Table of Contents for the Digital Edition of Your Business March 2020
