UK manufacturers trying to manage longer and more complex global supply chains can now take advantage of ‘e2e’, a new purchase order-to-delivery point solution combining the freight transport and third-party logistics expertise of EGL Eagle Global Logistics and TDG. ‘e2e’ recognises the changing dynamics of manufacturing supply chains.
About 75% of manufactured products destined for the EU, for example, are now sourced outside of Europe while China’s expanding range of products and parts are available at 25-50% less cost than comparable goods from developed countries.
Geoff Dent, vice president sales & marketing for EGL’s EMEIA region, says: “The demands of consumers for greater variety, frequency, choice and availability are growing inexorably and this is putting manufacturers’ supply chains under an unprecedented level of pressure. Between 10% and 30% of their costs are associated with supply chains yet there is mounting evidence to suggest that they are managed sub-optimally. ‘e2e’ changes this by taking the supply chain to the next level.”
‘e2e’ uses the combined expertise of EGL together with TDG to develop and operate integrated end-to-end supply chains that better manage the international product flows generated by global sourcing. Improving end-to-end visibility of the chain enables importers to make decisions earlier, creating a more agile supply chain that’s better able to respond to changes in consumer demand.
The product is designed to help manufacturers reduce lead times, inventories and associated storage costs and reduce product costs by delivering efficiencies throughout the entire supply chain.
David Garman, chief executive of TDG, adds: “Our information systems also give manufacturers the visibility they need to make decisions that generate benefits. We can then execute the physical activities to deliver these benefits.”
The IT infrastructure supporting ‘e2e’ enables customers to see purchase order status and stock levels at each stage of their supply chain and use this information to make decisions versus forecast and demand for a particular component or stock keeping unit (SKU). This improved level of supply chain management gives manufacturers the flexibility to cancel or accelerate an order, place a new order to ensure stock is available, hold stock back, opt for slower or faster modes of transportation, utilise port and container storage or cross dock product through a UK distribution centre. In each case, the customer’s decision is executed by ‘e2e’.