3 steps that can help you solve your supply chain problems

Tiffanie Stanard knows supply chain. She spent 15 years as an executive helping large companies build better supplier relationships. She is now founder and CEO of Stimulus, a Philadelphia-based relationship intelligence software platform that uses data to help companies make better procurement, sourcing, and buying decisions. p>

"I've spent my entire career talking to amazing black and brown women about supply chain issues, asking them how they're growing their businesses and making sure we highlight voices we don't know about." don't talk when it comes to business," Stanard said during an appearance at Black Tech Week in Cincinnati on July 20. During the session, she shared insights from founders she works with on how to diversify your supply chain while maintaining business growth. Here are three of his top tips.

1. Improve communication

A lot has changed since the start of the pandemic, and with much of the world still grappling with the virus, it's critical to assess how you interact with suppliers, notes Stanard. This is especially the case if you are a consumer goods company with overseas suppliers.

"People aren't good at communicating the various issues they're having, especially over the past year, so it's crucial to rethink the basic communication you use with vendors," says- she. Whether it's Slack, email, or phone, you need to expand your network and look at the processes that matter to your suppliers. Ask them what their preferred form of communication is, even if you've asked them before, as that may have changed as more and more people have drifted away.

2. Collect data and check it often.

Stanard often has conversations with founders who unfortunately don't have important data about their company. Collecting the right information, she says, can help any business owner make better decisions about how much material to produce at any given time. And it doesn't have to be complicated: most businesses already have some sales data, such as the amount of revenue from big box stores or websites. Taking the time to adjust supply chains based on where inventory is most needed can help keep products in stock and keep trading partners happy.

"Helping people navigate their data is something I've focused on for a few years," Stanard says. "Knowing where you sell the most can help you focus on where your business is growing and where you may need to cut back." The last thing you want, she notes, is to find out that you have little stock in one store and too much elsewhere.

3. Always negotiate prices.

Stanard often spends time advising business owners on how to negotiate pricing, which she says small business owners don't do enough of. She says it's common to see companies paying for things they shouldn't, like shipping or manufacturing costs, without ever questioning it.

This is especially true as contracts with suppliers are getting shorter and shorter due to supply chain constraints. Manufacturers are less sure of their ability to hold inventory for long periods of time, so they may inflate prices to hedge for the future. So, when negotiating, consider shorter timeframes. Instead of telling suppliers what the business needs over the next two years, break it down by month. "It will help them prepare properly and know what to expect," says Standard.