Supply Chain Expertise Helps FTTH Operator Adapt to Rapid Growth
By Donna Yates | July 27, 2021
Read Time: 6 Minutes
Supply chain management and optimization is an essential part of the success of any business. In times of growth or decline, if you haven’t considered your entire supply chain and logistics, you could experience issues, frustration and disruptions.
That’s why it’s important to closely monitor and improve your supply chain, especially when you experience rapid business growth.
How an FTTH Operator Optimized Its Supply Chain
As an example, when one of the largest FTTH operators in Mexico started experiencing problems with keeping up with growth, the organization needed support.
The operator turned to a third-party logistics (3PL) warehouse management team to handle elements of their inventory management, warehousing and fulfillment. While that initially seemed to be the answer, they found that they were still experiencing supply chain challenges beyond efficiency and cost management issues. Recognizing the opportunity for improvement was the first step in solving the problem.
Wesco had an existing relationship with the operator, and when the operator expressed their frustrations with the performance of their existing 3PL provider, our team shared strategies for building a successful supply chain. One that is lean, cost-efficient and dependable, as well as maximizes performance from suppliers, logistics providers and the in-house team.
We outlined a plan to implement business improvements that would deliver both near and long-term results to the operator. The goal was to find opportunities to improve efficiencies, performance and profitability. This included:
- Mapping out the current strategy to gain an overview of the full process
- Analyzing the market
- Determining inefficiencies in the current process
- Identifying opportunities to implement changes or adaptions
- Planning ahead with a resilient, future-proof recommendation
From suppliers and subcontractors to all team members, successful supply chain management requires commitment, input and buy-in from all parties. On the flip side, an ineffective supply chain can be a huge drain on resources, so it’s important to be as lean and cost-effective as possible.
This is where the global experience, local expertise and innovative solutions that Wesco could offer proved to be invaluable, including:
- Inventory management
- Centralized purchasing
- ERP integrations
- Electronic order processing
- Establishing warehousing infrastructure
- Logistics coordination
- Balanced inventory across the distribution footprint
By using a variety of process-driven approaches, Wesco delivered measurable business value, including annual savings in maintaining stock inventory, end-to-end visibility, a considerable increase in shipping efficiency, and a reduction in overall supply chain costs.
Safer, Smarter, and More Productive Operations
This program emphasizes what a forward-thinking supply chain management provider can do and demonstrates how your business can gain tangible value from a streamlined supply chain. Good processes lead to real results – from being more efficient, leaner and more agile, to freeing up cash flow, improving working capital and providing overall cost savings.
Learn how Wesco can help you build and maintain safe, resilient and efficient utility and broadband operations.
ABOUT THE AUTHOR
Donna Yates, Marketing Manager for Global Service Providers, Broadband and Wireless, is responsible for supporting the generation of marketing strategy, programs, and collateral for both internal sales members and external end-users for the global broadband segment. During her more than 20 years at Wesco, she has held roles in finance, operations, lean, and marketing.