Credit Crunch Supply Chain Predictions
18th December 2008 by Alex Briggs
i2 Technologies has published their economic downturn supply chain predictions:
1. SaaS and other engagement models will dominate in 2009
Software as a service (SaaS) and other engagement models will dominate the market in 2009 as companies seek to focus technology budgets on gaining a competitive advantage quickly without additional infrastructure. Outcome-based service engagements will be encoded into contracts in 2009 utilizing a managed business process services approach.
2. Risk becomes real and so does risk management
Supply chain agility will go from being a conference topic to a practical imperative for most companies. The focus will shift from traditional planning tools to process playbooks that use tools and point-of-use analytics coupled with process structures that emphasize governance mechanisms. The emphasis will be on rapid informed decision making as a key component of risk management.
3. Supply chain solutions drive a “greener” enterprise
Enterprises focusing on green initiatives are driving bottom line value and winning over customers. Streamlining the supply chain enables companies to decrease both human and manufacturing waste, optimize transportation networks and drive a leaner and greener business. Despite economic challenges, green initiatives driven by supply chain efficiency will continue to be a focus for companies.
4. Business Intelligence (BI) will no longer be a separate enterprise application category
There will be a sharp shift in focus from the traditional technology-focused BI implementations that merely deliver the same tired descriptive and retrospective reports. Instead, a unified science of supply chain analytics will emerge that delivers prescriptive analytics to decision makers at the point of use. As a consequence, analytics will cease to exist as a separate category and become a fundamental part of the decision support landscape.
5. The rise of the first-principle supply chain professional
In a break from the highly compartmentalized nature of supply chain professionals in recent years, the need for multi-dimensional expertise will lead to greater demand for first-principle practitioners. These professionals will be equally at home discussing Service Oriented Architecture or the relative merits of different stochastic programming algorithms and leading a sales and operations planning meetings or revenue and cost management initiatives through large teams.