Successful supply chain management is new success mantra: PwC
The next wave of transformation is likely to happen in the logistics space as companies embrace the new success mantra of delivering superior customer response while managing minimum inventory across supply chain, a PwC report says.
New Delhi: The next wave of transformation is likely to happen in the logistics space as companies embrace the new success mantra of delivering superior customer response while managing minimum inventory across supply chain, a PwC report says.
According to PwC's global report titled "Next-generation supply chains - Efficient, fast and tailored", successful supply chain management enables today's global leaders to be twice as profitable and significantly more responsive to customers than their peers.
"Given the huge investment and development taking place in this sector, this is the opportunity that Indian corporates are likely to explore and leverage going forward," PwC India Operations and Supply Chain practice leader S V Sukumar said.
The survey further said in line with global leaders, Indian firms have chosen to retain control over core functions like new product development, sales and operations planning and strategic procurement while outsourcing non-core aspects of production and delivery.
Managing profitability, reducing costs and meeting customer requirements are the top three priorities of supply chain executives globally today, the report said.
The survey said the companies today are adopting different supply chain capabilities like, collaborative planning, vendor-managed-inventory and best country sourcing.
Moreover, they are also open to increasing interest in next-generation technologies, automation and sustainability.
"Adopting differentiating practices including changing their philosophies and principles in integrated planning could become crucial for Indian companies, especially given the environmental uncertainties of our business landscape," Sukumar said.
PwC's Global Operations Leader, Mark Strom believes "responsive supply-chain configurations not only drive performance, but allow companies to serve their customers seamlessly in turbulent market conditions".