CBX Software, a company that helps retailers navigate product development and sourcing, particularly for store brands, recently detailed how supply chain issues are continuing to impact retail ahead of the holiday season. Supply chains have experienced massive disruptions this year on a global scale, including container shortages, severe floods, and COVID-19 outbreaks closing ports. Shortages are already on the minds of shoppers when it comes to buying gifts as the holiday season approaches.
The company touts its Total Sourcing Management tool for providing relief for businesses encountering supply chain disruptions. CBX says that users can optimize the decisions that impact private label product development, such as overall costs, product specifications, and any other product management processes. Tractor Supply Co. is one retailer that CBX Software has aided in the past. CBX works with over 15,000 retail and supplier partners, and 30,000 users in more than 50 countries.
"Supply chain management will continue to be a critical part of operations for thousands of business owners in the U.S. and abroad for the foreseeable future," said CBX Software CEO Michael Hung. "The winter season always brings about increased consumer demand as people begin to ramp up their gift shopping in preparation for the holidays. Our global sourcing platform puts users in the driver's seat by providing them with the most important and relevant information as they manage their supply chain systems, as well as their product development and sourcing processes."
CBX says consumers will continue to seek low prices as the challenges continue into the new year, providing a great opportunity for private label brands. Companies will inevitably be forced to find ways to make their supply chains more resilient without weakening their competitiveness. To do so, Hung says that managers should get a genuine understanding of their company's vulnerabilities before making any adjustments to their supply chains.
“We are obviously trying to play our part, but other companies need to take some time to reflect upon their own weaknesses if we want to collectively alleviate the issues at hand," said Hung. "Business owners and managers need to review their supply chain processes and identify where they are inefficient before looking to alter their infrastructures or workflows. Many of these vulnerabilities that we are seeing across the industry were present before the pandemic. If we want to bring an end to this crisis, managers need to take time to evaluate what is working and what is not before moving to optimize."