We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Want collaboration? Let's talk first
Perspective

Want collaboration? Let's talk first

March 21, 2012
James A. Cooke
No Comments

Collaboration between manufacturers and retailers isn't a new idea. For more than two decades now, companies have tried working together to ensure that products flow efficiently from the plant to the retail shelf and into consumers' hands. Yet a recent study by the consulting firm McKinsey & Co. suggests that most of those efforts have not yielded the expected results.

The current state of collaboration notwithstanding, that process remains vital to achieving mutual corporate success. At a time when penny-pinching consumers are searching for the best deals and, thanks to Internet retailing, are demanding products around the clock, manufacturers and retailers have little choice but to work more closely together to minimize inventory, boost sales, and increase profits.

To achieve those objectives, manufacturing and retail executives should sit down face to face and personally exchange information. For example, a manufacturer could share details about the production constraints that make it difficult to fill last-minute requests for shipments. In return, the retailer could provide information on the special deals it plans to offer shoppers, explaining to the manufacturer the reasons for and likely timing of last-minute spikes in orders. Once they understand each other's situations, the manufacturer and retailer could work together to better align production with store promotions to ensure the right amount of product is available when needed. Simply sharing data will not produce the desired results.

Lip service about collaboration rather than effective action will not work in the current business environment, as both manufacturer and retailer risk losing sales and customers. Companies today must engage in tighter supply chain collaboration to ensure mutual success. And collaboration starts with sitting down for a frank dialogue.

    • Related Articles

      Talk to us

      Where do you want be next year?

      Collaboration without borders

    James A. Cooke is a supply chain software analyst. He was previously the editor of CSCMP's Supply Chain Quarterly and a staff writer for DC Velocity.

    Recent Articles by James A. Cooke

    Getting smart about using software intelligence

    The payback challenge

    A farewell, with thanks

    You must login or register in order to post a comment.

    Report Abusive Comment

    Most Popular Articles

    • Positive drug tests in U.S. workforce rise to 20-year high as marijuana is legalized

    • Wabash opens trailer manufacturing facility in Indiana

    • Six defining challenges of omnichannel fulfillment

    • Postal advocacy group says “excessive” July 9 stamp price hike will hurt consumers

    • CPKC and CSX buy rail assets from Genesee & Wyoming

    Featured Video

    8757b894 244c 4429 b5d8 e6df7b479d82

    Penalties for Wood Packaging Material Violations

    Viewer Contributed
    Our Services Include: Customs Broker Denver Freight Forwarder Denver Global Logistics Denver Cargo Insurance Denver Customs Bond Denver Customs Clearance Denver Customs Duty Denver Isf Filing Denver More details: Phone : 281-445-9779 Email: info@gallaghertransport.com Website: gallaghertransport.com

    FEATURED WHITE PAPERS

    • Five questions to ask before electrifying your indoor forklift fleet

    • Operator assist system myths busted

    • Three layers of forklift safety: Promoting operating best practices

    • The Complete Guide to Automated Packaging

    View More

    Subscribe to Supply Chain Quarterly

    Get Your Subscription
    • SUBSCRIBE
    • E-NEWSLETTERS
    • ADVERTISING
    • CUSTOMER CARE
    • CONTACT
    • ABOUT
    • STAFF
    • PRIVACY POLICY

    Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing