"Supply chains are like arteries in the human body, when they are blocked or disrupted, the whole system can fail. Therefore, it's critical to pay attention to every aspect of the supply chain to ensure its smooth functioning." Rosemary Coates, Author and Supply Chain Expert

Supply chains can have a significant impact on a company, so it is important for early-stage companies to consider their choices carefully. A well-considered approach to supply chain can help companies improve efficiency, identify risks and vulnerabilities, improve reliability of product delivery, save money and enhance customer satisfaction. All these factors can be critical for startup survival.

Some examples of successful startups that put supply chain considerations as a priority are shown below (and one that didn’t).

Particle is an IoT hardware and software platform that woks for industrial and commercial companies to connect machines and sensors. They work closely with suppliers to source high quality components and materials for IoT devices.

A few initiatives that Particle implemented included:

• Work to source high-quality components and materials for its IoT devices
• Uses a just-in-time inventory management system that allows it to minimize excess inventory and reduce waste
• Incorporates flexibility to the company to adjust its production and distribution processes to meet changing customer demand
• Conduct of conduct agreement with its supply chain partners
• Offers high level of support for customers

Stitch Fix is an online personal styling and fashion retail platform that has a unique supply chain model that relies on data-driven analytics to offer personalized fashion recommendations to its customers.

Data and supply chain initiatives include:

• The company also collects data on fashion trends and inventory levels from its suppliers.
• Stitch Fix's inventory is managed using a demand-driven supply chain model. The company uses its data analysis to determine which items are likely to be popular with customers, and it only purchases inventory as needed to fulfil customer orders.
• Uses a combination of in-house stylists and independent contractors to package and ship the items directly to the customer.
• Offers a flexible return policy that allows customers to return any items they don't want to keep.
• Provides a comprehensive Supply Chain Information for their customers on their website