Infographic: Looking at Homebuilders' Supply Chain Woes
Originally published by: Builder Online — December 24, 2014
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When it comes to the supply chain, home builders often are their own worst enemy. They don’t communicate clearly with trade partners, distributors, or manufacturers. Some withhold information that would help partners hold down costs or provide products in a timely manner. Others force suppliers to rely on last year’s data instead of providing updated projections. Builders unknowingly cause distributors to keep too much inventory on hand and expect extra products to appear overnight. Not surprisingly, these obstacles erode the profit margins of each participant in the supply chain.
Here, with the help of supply chain expert Ken Pinto, BIG BUILDER presents a graphical representation of how a builder’s missteps can add time and money to the process of purchasing. We provide information from each perspective in the chain, from material suppliers to trade contractors. We also chart a course for what happens when communication is open, timely, and relevant—think of it as your road map to success.
Editor's Note: Click on the image to view an interactive version.