Supply Chain Management: 3 Reasons Why Your Cannabis Business Needs It
WHAT IS SUPPLY CHAIN MANAGEMENT?
Every successful company, big and small, should have a supply chain management system. This helps organize the entire production flow of a product or service from inception to delivery. In the cannabis industry, a successful supply chain is monitored from seed to sale. This might seem easy enough, but it can get quite complex.
The supply chain flow begins with sourcing and cultivation, continuing on through the various avenues such as manufacturing, testing, distribution, retail and compliance, ensuring you complete required checkpoints along the way. While it might not be as simple as bringing something from A to B, technology today has allowed cannabis businesses to more easily streamline supply chain flow through solutions that actually do the hard work for you.
WHY CANNABIS BUSINESSES NEED SUPPLY CHAIN MANAGEMENT
1. AUTOMATED WORKFLOWS
Workflow management is essential for all businesses, but this is especially true for those operating within the cannabis industry. Strict regulations and tight timelines mean the steps it takes to even get your first bud to sprout can be complex. From researching strains to organizing rooms, batches, inventory and employees, having the right process in place that keeps these items moving through the pipeline is crucial.
If even one item goes off track, the entire grow could be at risk. The right supply chain management software allows for an automated workflow, tailored to your needs, that keeps your business operating at an optimal level. Automation will help orchestrate intelligent processes, make smarter business decisions and even predict issues so you can keep your business moving forward – making it possible for business owners and managers to focus on the bigger picture.
2. REDUCED COSTS
You may be thinking, “How can adding a supply chain management software – that adds cost to my budget – actually reduce my business costs?”
When looking at your business model, you may not realize how much profit you are actually missing out on due to human error. Manually inputting data, following written checklists or even failing to monitor employee time clocks can all be wasting serious dollars. Simple but necessary processes can make a huge impact. And, when you allow technology to do the heavy lifting for you, it becomes that much easier for management to stay on top of optimizing budgets.
3. IMPROVED PRODUCT QUALITY
When you think of the most successful companies in the world, you will notice consistency in everything from its products and branding to its overall operations – and this is all thanks to a successful supply chain management system. Consistency brings confidence. Confidence in employees, confidence in customers and even business partners.
Having a routine that is effective and easy to understand can ensure quality across the board, which is vital to customer satisfaction and growth. This consistency often comes from the automated workflow we mentioned above. Products can’t move forward in the pipeline until they’ve passed all the necessary regulatory and quality checkpoints. With the right system in place, your business can produce a quality product every time.
REGROW CAN HELP
Now that you have a better understanding of what supply chain management is and how it is applied to the cannabis industry, you can see how vital a well-run system is. It might seem daunting at first, but that’s why platforms like Regrow exist – a supply chain management platform created specifically for the cannabis industry. Learn more about maximizing your grams per square foot through supply chain management here.