Don't Risk Having Your Automotive Supply Chain End Up In the Breakdown

by Scott Vigneault, on November 25, 2016

Screen Shot 2016-11-22 at 2.29.16 PM.pngAre global supply chains failing to live up to the expectations of the businesses and customers who rely on them?

The complex systems that transport components and finished products around the world, from where they are manufactured to where they are sold, are under strain. Significant numbers of products are being recalled due to serious defects. For instance, Samsung was forced to call back all of its promising Galaxy Note 7 smartphones, thanks to an issue that caused some to spontaneously catch on fire, according to The Verge. Meanwhile, Supply Chain Digital notes that Fiat Chrysler has recalled 1.9 million vehicles around the world, due to problems that may lead to airbag and seatbelt failures.

In fact, of all the industries that rely on global supply chains, the auto industry appears to be particularly vulnerable to this breakdown. Supply Chain Digital also notes that Volkswagen recently had to halt production of nearly 10,000 vehicles after a supplier refused to deliver a specific component. Most car manufacturers do not design or build the majority of their parts in house, which can lead to unfortunate bottlenecks.

Automakers need to take the long view in regards to their supply chains. These systems are becoming increasingly complex, and will require agile management that is highly responsive to the conditions on the ground.

Thanks to Enterprise Labeling Solutions, automotive companies can streamline their labeling practices, improve supply chain efficiency and eliminate the bottlenecks that might otherwise lead to delays and loss of business. With this approach, it is easier and more cost-effective for businesses to produce the barcode labels they needed to keep their supply chain running smoothly. Here's more information on automotive barcode labeling.