Many factors cause disruptions in the supply chain. Pandemics, weather, labor disputes and foreign conflicts to name a few. Who would have guessed that the rising threat of El Nino’s weather could reduce sugarcane yield by 10-15% globally? The shortage of sugarcane could mean those holiday cookies may be in jeopardy as well as impacting many industries. The Confectionery and Bakery, Beverage, Food Processors, and Restaurant Industries can also be impacted. Now that the supply chain is global, one disruption in one industry can impact multiple industries.

Here are some strategies you should consider to reduce your risk caused by supply chain disruptions:

• Diversify Suppliers
• Communicate with Suppliers
• Expand Your Customer Base

Expanding your customer base is one way to minimize your risk by reducing dependence on a single industry or customer base. You can spread the risk and maintain revenues during disruptions if you support customers in many industries. Where do you start to expand your customer base? First, you must be ready to exchange business documents electronically. More and more companies are demanding that you must share information electronically or they will not consider you as a supplier. Innovate can help you get started. Innovate Managed Services can become your additional IT staff that can work with you and your customers to implement and manage all your order- to-cash electronic documents.

Click here to learn more about Innovate Managed Services and Innovate’s Supplier Toolkit info@innovateec.com