Competing supply chains are the future
8th November 2006
In an article in the FT today, David Barnes, CIO at UPS argues that supply chains will soon overshadow companies in terms of their impact on business success.
Growth-oriented leaders understand what is at stake. They know that supply chain strategy is really business strategy, and vice versa. In the past decade process and techology improvements in supply chain management have lowered total US business inventories by billions of dollars and helped reduce order-to-cash cycle times by 10 percent.
The increases in outsourcing mean that the ‘glue’ between the different components in a supply or value chain will come under increased strain, and inevitably customers will begin to scrutinise these processes in greater detail by 2010, Barnes argues, the supply chain will become the metric by which companies are evaluated.
If you’re an FT subscriber, you can read the full article.
