Analyst Insight: We have entered an era of radically changed weather patterns which will have a much more pivotal and dominant impact on commodity prices. Smart commodity managers will increasingly draw on weather expertise and weather related-instruments when formulating their hedging strategies.
Analyst Insight: Continued globalization and increasing leverage of third-party services for manufacturing, distribution and returns keeps the warehouse and logistics sector strong. Though the growth of warehouse space slowed due to poor sales of consumer and commercial goods in the U.S. over the last year, technology sales continue to thrive though growth for some was not robust in the last year.
Analyst Insight: While the economic slowdown has adversely impacted the volumes of global sourcing and product distribution, global recovery will continue to fuel expansion of importing and exporting worldwide. For companies that source and distribute internationally - more than 80 percent of all companies that make or sell products - supply chain managers need to continue improving their knowledge and processes for effective global supply chain management.
Analyst Insight: Despite the fact executives downgraded risk levels in our recent risk survey, the impact of current economic conditions is long lasting. Global supply chains will continue to face major risks in 2010 and beyond. As such, designing a supply chain risk management strategy is still critical.
Analyst Insight: The dirty underside of supply chain is confronting the many risks inherent in 24x7-operations entrusted to "partners" in far-flung regions who are conducting fraudulent activities as well as dealing with unpredictable events. The big market here is risk transfer-insurance and others services to mitigate the impact of events. In addition, step by step, we are beginning to see approaches-metric and risk assessments methods, auditing and monitoring services, and technology - to support risk avoidance and assure recovery.