Supply Chain Tips

This document provides five tips for maintaining an effective supply chain during a financial crisis: 1. Communicate regularly with Electronic Manufacturing Services providers to agree on demand forecasts and avoid overcorrecting supply levels. 2. Reduce lead times in ERP systems to reflect supply realities and reduced material exposure with contracting markets. 3. Validate the financial viability of critical suppliers and their major customers to understand risks. 4. Build long-term relationships with suppliers to ensure flexibility and support during downturns and subsequent upturns. 5. Do not ignore reduced sales forecasts - the downturn is real, inventory is a liability, and cash is critical for survival.