The retailer, which has attempted reduction efforts in the past, hopes to bring down its inventory assortment to 6,000 or 6,500 SKUs.
The retailer, which has attempted reduction efforts in the past, hopes to bring down its inventory assortment to 6,000 or 6,500 SKUs.
In context
- Topic: Supply Chain y Logística — Cadena de suministro, distribución, inventarios y visibilidad.
- Source: Supply Chain Dive
- Published: 25/08/2026
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Why it matters
In logistics, technology pays off when it reduces uncertainty, not when it reduces paperwork. Knowing where the cargo is helps little if nothing different can be done anyway; what matters is knowing early enough to change the decision.
My reading goes through visibility upstream. Almost every company knows who its supplier is; very few know who their supplier's supplier is. And it is there, at the second tier, that the surprises which stop a production line usually live.
What usually goes wrong
Where it usually breaks is inventory data quality. The system says one figure and the warehouse holds another, and everything gets planned on that difference. No visibility project helps if the starting number is wrong; it only makes the error travel faster and reach further.
What to watch
- How many days of operation inventory covers if that dependency is cut.
- Whether there is visibility beyond the direct supplier, which is where the surprises are.
- Which decisions can be made with the information available and who has authority to make them.
How I read this entry
What I would do is translate this into days of operation. Not into percentages or dollars first, but into how many days the business can keep shipping if this piece fails. Everyone at the table understands that number, and it orders priorities without argument.
This entry is an excerpt from the original source, selected by the site radar. The commentary above is the site's own and does not belong to the cited publisher.
Living through this in your own team?
Open the chat and tell me how you're handling it. I'm interested in comparing notes.
