Supplier Inbound Management (SIM) allows you to actively manage your inbound shipment process from Purchase Order (PO) creation through proof-of-delivery. You collaborate with your Suppliers and Carriers to implement the Ready-to-Ship process.
The supplier provides three key pieces of information:
- The date that the shipment will be available for pick-up
- The ship-from location (only necessary if the supplier fulfills POs from multiple source locations; informs the other partners precisely where the PO will be sourced from)
- The shipment content — either shipment lading totals or specific line items and quantities for each
Given this data, you can control your inbound shipment process. You can optimize your overall shipment plan — consolidating inbound shipments within the same lane moving at the same time to minimize freight costs. You also assign your core carriers, manage the tender to those carriers, and schedule pick-ups and deliveries. Your carriers provide your shipment status — pick-up, estimated time of arrival, and delivery confirmation to complete the status of the fulfillment and delivery. All parties — Buyers, Suppliers, customer service, operations, and other interested parties — can have complete visibility into both the Purchase Orders and the shipments.
Actively managing your inbound allows you to:
- Increase lead time dependability and eliminate variance (the most significant cause of excess inventory)
- Reduce both inventory and out-of-stocks
- Increase reaction time to incomplete or late orders and shipments
- Shorten order/shipment cycle times.