Total IT spending on hardware, software and IT services across 15 enterprise industries is forecasted to grow by 6 percent in 2013, to approximately $474bn, according to research by International Data Corporation (IDC).
According to a growing number of media and analyst reports, China's days as the world's largest manufacturing nation are already numbered - only two years after ending the United States' 110-year reign. This conclusion has left Chinese business leaders understandably concerned.
The English language is full of potentially polarizing statements. But few are more likely to inspire mixed feelings among DC professionals than some facsimile of this: "Our facility is getting a labor management system."
Analyst Insight: Supply chain has often been an afterthought for pharmaceutical manufacturers. The patent cliff, increasing reliance on generics, and price pressure from payers all create considerable margin pressures on pharma companies as well. This forces them to pay closer attention to operational efficiencies, including the supply chain. However, less noticed is the impact that evidence-based medicine and outcome-driven payment strategies have, compelling pharmaceutical manufacturers to more closely manage their entire end-to-end chain, especially on the downstream side. - Bill McBeath, Chief Research Officer, ChainLink Research
Analyst Insight: The pharmaceutical and bio-tech industry, as well as the medical device and medical product industries, are at a crossroads. This crossroads consists of industry identity and business channel markets determination - each of which will drive every company's future in the domestic and international marketplace as a single sector leader or multimarket healthcare provider for the coming decade. - Brian Hudock, Partner, Tompkins International
Analyst Insight: For the better part of 40 years truly leading-edge firms have made supply chain design/redesign using network optimization models an integral part of their overall corporate strategy. The focus has gradually evolved from a myopic consideration of the number and location of warehouses to a comprehensive examination of the entire supply chain, from sources of raw materials to the customer. The principal impediments to success are myopic scope and failure to institutionalize the process. - Jeffrey J. Karrenbauer, President, Insight Inc.
Brazil's government has yanked down interest rates to record lows and kept the value of the real, the country's currency, in check. The government has even doled out tax cuts in attempts to boost growth. But so far, there's not much evidence those strategies are working "” and key economic data released recently probably won't change things.
Counterfeit products are becoming ever more prominent across a number of industry sectors. This is especially the case where, for the criminals involved, the returns are great. High-volume industries, such as tobacco and manufacturing components, and high unit-price industries, such as perfume and cosmetics, are widely targeted by counterfeiters. According to statistics published by the U.S. Department of Homeland Security, handbags and wallets accounted for 40 percent of all seizures during the fiscal year for 2012.
Analyst Insight: While much has been written about demand driven, daily demand variability drives operations crazy. Most current inventory planning and optimization applications are disconnected from daily reality resulting in operations relying on custom spreadsheets and tribal knowledge to reconcile the gaps between plan and actual. In addition, the inventory planning applications are often disconnected from the optimization applications (if implemented at all), further exacerbating the operations conundrum. - Rich Sherman, Supply Chain Discipline Expert at Trissential
Analyst Insight: With the trend toward multichannel and omnichannel supply chains, pressure is mounting for inventories that were intended for one type of demand to be called on to serve another. This conflict can lead to underserving the demand for which the inventory was planned and raise issues between organizational entities that lean toward protectionism, undermining competitiveness. Solving this issue requires effective decision-making processes that occur in real time based on corporate objectives. - Ralph Cox, Senior Principal, Tompkins International