How to optimize your supply chain with Excel
Optimizing the supply chain means improving the efficiency and productivity of the supply chain process by reducing waste, cycle time and cost. Here are some things to keep in mind when using Excel to optimize your supply chain.
Optimizing the supply chain means improving the efficiency and productivity of the supply chain process by reducing waste, cycle time and cost.
In order to optimize your supply chain, you need to be able to track and analyze all of the moving parts. This can be difficult if you are trying to do it manually. However, with the help of Excel, you can create detailed graphs and tracking systems that will allow you to see exactly where your supply chain is faltering.
Here are some things to keep in mind when using Excel to optimize your supply chain:
Use Pivot Tables to Analyze Data
In order to get started, you need to first collect all of the data that you can about your supply chain. This includes information on suppliers, customers, orders, products, and more. Once you have this data, you can begin to input it into Excel.
Pivot tables are an extremely powerful way to analyze data in Excel. They allow you to quickly see relationships between different data points.
When trying to optimize your supply chain, pivot tables can be used to see which parts of the process are taking the longest, where there are bottlenecks, and where improvements can be made.
Use Visualizations to Understand Data
Once you have your data inputted into Excel, it is important to start visualizing it. Excel offers a number of different ways to visualize data. You can create
and bar charts.
Visualizations are important because they allow you to quickly see patterns and trends in your data. This can be helpful in identifying areas where your supply chain could be improved.
Having data presented this way also makes it easier to communicate your findings to others and it makes it easier to compare your company's supply chain to others.
Create checkbox lists for easy data entry
Another way to make your life easier when using Excel to optimize your supply chain is to create checkbox lists. This will allow you to quickly and easily enter data into your spreadsheet without having to manually type in each piece of information.
Checkbox lists are especially helpful if you are tracking a large number of items or if you need to enter data quickly. This feature is great for when you are trying to track inventory levels or order information.
Use Macros to Automate Repetitive Tasks
Excel can also help you automate repetitive tasks. By recording macros, you can save time by having Excel do the work for you. For instance, if you are constantly creating charts to track your data, you can create a macro that will automatically generate the chart for you.
Saving time on repetitive tasks will allow you to spend more time analyzing your data and finding ways to improve your supply chain.
Create a production schedule
When creating a production schedule, it is important to have a clear idea of what you want to produce and when you want to produce it. This can be difficult if you are trying to do it manually. However, with the help of Excel, you can create detailed graphs and tracking systems that will allow you to see exactly where your production schedule is faltering.
Having a good and realistic production schedule can help you track your inventory levels, production costs, and more. It can also help you communicate your production plans to other members of your team.
Use Excel to Model Your Supply Chain
Excel can also be used to create models of your supply chain. This can be helpful in understanding how your supply chain works and in identifying areas that could be improved. By creating a model, you can experiment with different scenarios to see how they would impact your supply chain.
This is especially helpful if you are trying to find ways to improve your supply chain but you are not sure what changes to make. Modeling can help you test out different ideas and see which ones are the most effective.
Analyze supplier performance
To improve your supply chain, you must be able to track and analyze all of the moving elements. Having all the data presented in one place will make it easier for you to identify problem areas.
By using Excel to track supplier performance, you can quickly and easily see which suppliers are not meeting your expectations.
Set up alerts to notify you of changing inventory levels
Another way to make your life easier when using Excel to optimize your supply chain is to set up alerts. This way, you will be notified immediately if there are any changes in your inventory levels.
This will allow you to quickly and easily adjust your supply chain to meet the demands of your business.
Use filters to find specific data
Filters are a great way to find specific data. When you are trying to track down a particular piece of information, filters can help you quickly and easily find the data you are looking for.
This is not just about saving time; it's also about helping you concentrate on the most essential information. By filtering out the noise, you can focus on what is important and take action accordingly.
Create a dashboard to track KPIs
A dashboard is a great way to see all of the most important information in one place. By creating a dashboard, you can quickly and easily see how your supply chain is performing. This can help you identify areas that need improvement.
Having clear knowledge of your KPIs will allow you to make informed decisions about your supply.
Some examples of KPIs that you might track include:
on-time delivery rate
perfect order rate
Supply chain KPIs can be tracked using formulas in Excel. By tracking these KPIs over time, you can start to see trends and patterns. This information can be used to make changes to your supply chain in order to improve its overall performance.
Excel is an extremely powerful tool that can help you optimize your supply chain. By utilizing some of the features discussed above, you can make your life easier and improve your supply chain at the same time.
These are just a few of the most useful tips. By taking advantage of all that Excel has to offer, you can streamline your supply chain and make it more efficient which will lead to increased profits.