The furniture retail industry faces many challenges especially in the supply chain process of the company. Indeed, in this part of the project, we will be analyzing the different challenges, issues and concerns of the supply chain of Richbond. Since all problems have solutions, we will be discussing some eventual solutions and propose some solid recommendations to the firm so it can improve its supply chain and enhance its performance.
The main issue concerning the logistics of Richbond is that each department has his own logistic services along with his own delivery services in different places. This left the company with no choice but to increase the traffic between departments which increases the costs.
The challenges that Richbond may be facing are:
Rising Costs: As we know higher volume directly implicates higher costs. Business processes should be improved in order to avoid the increasing costs of labor and other costs proportionate to revenues.
Managing Complexity: As the company grows, there will be room for more complexity. Without enhancing methods and leveraging
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Administrators waste time searching for things stocked away in the wrong places or lost from stocks in the inventory. Clients are sold things not in stock because of the lack of visibility of the sales inside the warehouse.
Poor Use of Space and Equipment: Organizations that need complete, ongoing perceivability to stock make up for vulnerability by blowing up wellbeing stock. Retailers who can't restock focused around fast examination of offers examples are not able to store quick moving things in the most open territories. The individuals who can't pick requests and burden trucks as per improved conveyance calendars moderate conveyances while squandering supplies and