Skip to content

Developing a supply chain for soft goods

Massive amounts of data from several sources are parsed by AI systems, which businesses may utilize to analyse customer behaviour, supply chain variations, and other business insights.

Artificial intelligence (AI) and machine learning (ML) go hand in hand. It mimics how people learn by using self-optimizing algorithms. When combined with AI, ML enables companies of all sizes and in all sectors to convert data into insights.

Demand forecasting models using past data tracking and analysis to estimate forthcoming consumer demand cycles are made possible by AI and ML. This knowledge can help soft products firms figure out how to meet client demands all year round.

Businesses that manufacture soft products may recognize and address supply chain bottlenecks with the use of AI and ML-based modelling. These businesses regularly gather data and insights, allowing them to analyze the status of their supply chains whenever necessary and look for methods to make improvements. This helps to decrease operational expenses, increase productivity, and prevent supply chain interruption.

The following actions can help soft products firms establish and maintain a successful supply chain in addition to applying AI and ML-based modelling:

Keep an eye on in-season performance

Complex spreadsheets are frequently used by soft products industries for supply chain planning; however, they are often inaccurate.

Monitor your supply chain’s performance during the season to make sure you’re keeping a continuous supply of things that are popular with customers. This enables you to reduce the number of products that fall short of customer expectations before stock-outs and markdowns are necessary.

Create a “one-number” strategy

Making a strategy based on a single operational number is known as one-number forecasting. The demand-driven strategy enables a corporation to adjust as market circumstances change. Since numerous factors might unexpectedly change demand, soft product firms may benefit from a one-number prediction.

Create a one-number strategy for your supply chain using historical data. Set targets for your strategy while remaining flexible. Regularly evaluate the strategy and adjust as necessary.

Benefit from customer segmentation

The finest supply chain plans for soft products are created with specific consumer segments in mind. Businesses that segment their client bases and localize their product offerings are better able to give the appropriate goods to the right people at the right moment. They can also fulfil requests from clients.

Create consumer categories according to desired clothing and accessories, and then fine-tune your supply chain using these segments. Your supply chain planning, sourcing, and replenishment strategies will be improved over time as a result.

Simplify your S&OP

Companies that make soft products can assess how much product is needed to meet their objectives with the use of sales and operations planning (S&OP). A company must consider its people, processes, and technology to implement effective S&OP.

Utilizing S&OP technology to assist integrated business planning and aid in the creation of procedures that streamline supply chain operations is essential. Additionally, they make your supply chain transparent enough for other departments to collaborate on data analysis, insight generation, and goal setting.

Share this post:


AMG Logistics is a Lagos-based TRACE certified logistics company. Our services include Freight Forwarding, Customs Clearance, Trucking, Distribution, and Warehousing within Nigeria.



Tel: +234 909 199 9866
+234 909 199 9866
+234 909 199 9841
+234 909 199 9805
+234 909 199 9813

AMG Logistics Locations

7c Creek Road

B3 ground floor
84 Keane Nkrumah Street
Asokoro Business & Lifestyle centre

NAMA Admin Building
Port Harcourt International Airport
River State