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Recession Impact on Supply Chain Spending - A Capgemini Survey

Recession Impact on Supply Chain Spending - A Capgemini Survey

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Published by Anand Khisti.
Statistical data based on survey to assess the impact on new Supply Chain initiatives / projects.
Statistical data based on survey to assess the impact on new Supply Chain initiatives / projects.

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Published by: Anand Khisti. on Mar 11, 2009
Copyright:Attribution Non-commercial

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11/04/2012

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Crisis dominates the supply chain agenda in2009
Which projects will hold out in these difficult times?
March 2009
SUPPLY CHAIN MANAGEMENT
 
 
Supply Chain Agenda 2009
2
Crisis dominates supply chain agenda in 2009
The financial crisis leads the list of most influencing factors forthe supply chain agenda in 2009. Over 65 percent of thequestioned managers engaged in logistics affairs, say that theirstrategy is affected by the crisis. Another striking finding is that34 percent of the managers mentioned “sustainability” as a topicon their agenda. These are the results of Capgemini Consulting‘sinternational study under 300 companies. The study reflects themost important factors that influence the supply chain agenda of2009 and shows the impact of the economic crisis on that agenda.300 respondents shared their supply chain agenda withCapgemini
The study was executed by means of a survey, which has beencompleted by over 300 respondents in Europe (62%), the US andCanada (16%), Asia (13%) and Latin America (5%). In addition to thesurvey, several interviews with Supply Chain Managers have takenplace.
Financial crisis most important motive for 2009
To the question “what are the most influencing factors on the supplychain agenda 2009”, 65% of the respondents answered that thefinancial crisis is the most important topic. Next to that, meeting(changing) customer requirements and sustainability appear to beimportant motives for the supply chain manager.
10%12%21%17%25%26%29%37%46%65%0%20%40%60%80%OtherNew (type of) competitionSupply Chain SecurityRegulatory complianceEmerging marketsIntroduction of new product-market combinationsGlobalisationSustainabilityMeeting (changing) customer requirementsEconomic downturn
Business Drivers 2009
(Multiple answersper participant allowed)
 
 
 
Supply Chain Agenda 2009
3
Capgemini Consulting is the strategy and transformation consulting brand of Capgemini Group 
TOP 10 Supply Chain projects 2009
The business drivers have direct influence on the activities andprojects that supply chain managers will execute in the coming period.By average, supply chain managers have included seven projects inthe 2009 agenda. The study provided insight in the most importantprojects in the area of supply chain strategy, sourcing of logisticsservices, transportation, warehousing and supply chain planning andcontrol, per industry. The hereunder shown graph shows theconsolidated (all industries) top ten of most occurring projects.
48%45%44%41%39%36%35%31%30%29%0%10%20%30%40%50%60%1. Inventory Optimization2. Supply chain strategy project3. Improve long term forecasting /planning4. Network redesign5. Improve supply chain visibility6. Sales and Operation Planning7. Contract renewal strategic logistic partner(s)8. Warehouse centralisation or decentralisation9. Sustainability program10. Outsourcing of logistic services
Top 10 Supply Chain Projects
(Multiple answersper participant allowed)
 
Top of the list shows projects that lead to reduction of inventory andlogistic cost. Beside the fact that these are traditional areas ofattention, due to the financial crisis supply chain managers will focuseven more on realising these projects.

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