Thursday, September 12, 2019

Internatioanl Logistics - Monitoring Essay Example | Topics and Well Written Essays - 1000 words

Internatioanl Logistics - Monitoring - Essay Example International suppliers more so should be monitored with a not of keenness considering the distance that may separate the two businesses and the logistics involved in making cross border transactions. The importance of monitoring supplier activities is to ensure the timely detection and correction of faults that may arise in the course of doing business. Based on the performance of the supplier, the business is in a better position to make good and timely decisions and so avoid unpleasant surprises. The monitoring of performance and identification of areas likely to be faced with problems can improve the efficiency of a supply chain. Efficient supplier monitoring also involves aspects such as costs, quality, performance assessment, social responsibility, timeliness of deliveries as well as business-supplier relationship. For efficient international supplier monitoring, there is need for the use of real-time information, visiting steady reaction sites, accurate reports of situation an d constant client accessibility. These monitoring services help in resource optimization, review of supplier achievement as well as future decision making. Cost control One of the key factors that determine the success of a business is cost of suppliers. As the organization does business with an international supplier, it really needs to closely monitor global trends in the cost of related products, foreign exchange rates and airfreight costs. The business needs to get updated with packaging, transport, and unloading related costs. Transportation cost is a core issue in the cost of logistics. For this reason continuous monitoring of transport activities is a major concern of businesses. In monitoring transportation, the company may consider monitored related risks in terms of delay risk and safety. Delay risk involves the use of departure, transfer and destination points as well as real time data and transport time as inputs in calculating and warning of a delay. However with the im proved technology there are better methods of monitoring logistic information. Essentially, the suppliers costs of packaging, transportation and unloading should be reasonable and sensitive to the needs of the business. Relationship with Supplier An organization needs to maintain a good relationship with its suppliers. Establishing and maintaining positive relationships will in effect financially benefit both parties. The company has its responsibilities when it comes to dealing with suppliers such as making prompt payments and promptly submitting complaints and claims in the event of damages. In order to maintain a positive relationship with international suppliers, the business may consider meeting their contacts face to face with an aim of seeing how their activities are carried out as noted by Business Link (2011). The suppliers should also be contacted regularly and updated with strategic changes promptly so that they may also adapt to such changes. Better deals may come in the way of the business if it maintains a healthy rapport with a supplier and becomes one of its important customers (Business Link 2011). Quality control The products and services that suppliers provide to a business greatly impacts its performance in the market. This being the case, the business should ensure that its suppliers deliver quality services and products. Monitoring the

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