News • 26.07.2019

Companies are missing growth opportunities in the supply chain

Smart investments and customer focus

Small plants growing out of soil; copyright: panthermedia.net/eskaylim...
Source: panthermedia.net/eskaylim

In today’s era of ever-growing focus on the customer, only a small number of forward-thinking companies are realizing the unique opportunity their supply chains offer to better meet customer needs, fuel competitiveness and uncover growth, according to a new report from Accenture.

Based on a survey of 1,350 business executives, the report “From Inventory to Influencer: The Mover Becomes the Shaker” reveals that more than three-quarters (78 percent) of executives and their companies – named the “Laggards” – are missing opportunities to leverage the power of the supply chain as a driver of revenue growth. The remaining 22 percent of companies, referred to as “Leaders,” are making smart moves in three areas – digital investments, customer-centricity and ecosystems. This is enabling them to shift their supply chain strategy from driving cost efficiencies to powering growth opportunities and achieving competitive agility.

According to the report, the Laggards need to quickly transform the supply chain and operations function into a collaborative engine of growth and innovation or else they risk their future success. 

Building the digital enterprise

While most supply chain and operations executives recognize the benefits of digital technologies, Accenture’s study shows that the Leaders actively infuse digital intelligence throughout their supply chains and operating models. Leaders scale digitally-enabled solutions in the supply chain at a rate almost equal to that of their product design and customer engagement functions, and even surpass the digital investments made in their sales functions. And their efforts are paying off, with nearly two-thirds of Leaders (46 percent) meeting or exceeding the return on invested capital in digital over the past three years, compared to just 36 percent of Laggards.

Collaborating across the C-suite on customer centricity

The report notes that Leaders have a unique approach to customer centricity – i.e., putting customers at the center of everything. They recognize that each C-suite member can benefit from the insights that are generated across the supply chain and operations and enable the entire company to become more customer-centric. That puts chief operating officers (COOs) and chief supply chain officers (CSCOs) in a unique position to help accelerate collaboration that leads to customer-fueled growth.

Maximizing ecosystem opportunities 

The majority of both Leaders (78 percent) and Laggards (64 percent) embrace the idea of becoming ecosystem orchestrators. However, Leaders look beyond traditional partners like suppliers and recognize that technology partners, universities, innovation incubators, start-ups and even competitors can help drive relevant new offerings to customers as quickly as possible.

“The intense focus on digital, customer centricity and ecosystems has enabled the Leaders in our study to shift their supply chain strategy from chasing incremental cost savings to creating new value, as part of a zero-based mindset, that fuels sustained growth,” said Kris Timmermans, senior managing director and Supply Chain, Operations & Sustainability Strategy lead at Accenture Strategy.

Learn more about “From Inventory to Influencer: The Mover Becomes the Shaker”.

Source: Accenture

related articles:

popular articles:

Thumbnail-Photo: Changing consumer demands challenge European retailers...
23.05.2019   #customer analysis #promotions

Changing consumer demands challenge European retailers

Increasing consumer returns purchases during short-term promotions

Retail analytics guidance system, DynamicAction, has launched its Retail Index: Spring 2019 data, providing an overview of the challenges facing European retailers as they adapt to changing consumer expectations and an evolving retail landscape.The ...

Thumbnail-Photo: Thyssenkrupp presents artificial intelligence alfred”...
19.07.2019   #data management #digitization

Thyssenkrupp presents artificial intelligence "alfred”

AI as an essential component of the holistic digitalization strategy

Thyssenkrupp Materials Services continues to drive digital transformation: Since early 2019 an artificial intelligence solution (AI), supported by Microsoft’s cloud platform Azure, has been integrated into the processes of the largest ...

Thumbnail-Photo: “Worldwide shipping: I need it - now!“
24.06.2019   #e-commerce #logistic solutions

“Worldwide shipping: I need it - now!“

Helping eCommerce businesses succeed through international shipping

Micha Augstein, CEO and founder of shipping service provider PARCEL.ONE GmbH is on a mission. He wants to revolutionize online retail with his innovative logistics approach and support online retailers.How does he do it? Retailers simply send their ...

Thumbnail-Photo: Blockchain traceability in olive oil supply chain...
03.07.2019   #supply chain management (SCM) #monitoring software

Blockchain traceability in olive oil supply chain

Blocksyte and Caroli share results of monitoring application

Blocksyte, a SaaS-based blockchain supply chain application company focused on the food industry supply chain, and Caroli, producer of extra virgin olive oil, announced the successful introduction of end-to-end blockchain traceability into the olive ...

Thumbnail-Photo: Supply chain transparency is good for business...
27.05.2019   #customer satisfaction #delivery

Supply chain transparency is good for business

The report by ICAR makes the case that greater transparency improves brands’ reputations.

A new report by the International Corporate Accountability Roundtable (ICAR) makes the business case for companies to adopt greater supply chain transparency measures, showing that when they do, businesses enjoy better reputations, greater ...

Thumbnail-Photo: Multi-channel pilot
22.08.2019   #multichannel commerce #logistic solutions

Multi-channel pilot

Zalando delivers same-day for adidas.fr in Paris

Ordered from adidas, delivered by Zalando: In Paris, the two long-term partners are running a test on how to efficiently steer logistics capacity. During the pilot phase, Zalando delivers goods on the same or next day from its own logistics center ...

Thumbnail-Photo: Walmart begins pilot with autonomous vehicle company Gatik...
08.08.2019   #logistics #delivery

Walmart begins pilot with autonomous vehicle company Gatik

Self-driving cars for customer delivery and transporting goods between stores

Walmart announced a new pilot with autonomous vehicle company Gatik. The company has been exploring a few pilot projects with self-driving car companies that include both customer delivery as well as transporting goods between locations.Tom Ward, ...

Thumbnail-Photo: LogiMAT China a big hit in Shanghai
29.04.2019   #logistic solutions #event

LogiMAT China a big hit in Shanghai

Attendees impressed by new location offering unique synergies

LogiMAT China 2019, which ends on April 17, drew impressive numbers of exhibitors and visitors following its move from Nanjing to Shanghai. The idea to host the intralogistics trade show alongside transport logistic China forum, organized by Messe ...

Thumbnail-Photo: Today’s supply chain threats: tariffs, terrorists and tsunamis...
16.07.2019   #security #supply chain management (SCM)

Today’s supply chain threats: tariffs, terrorists and tsunamis

Agile strategies required to combat potential supply chain disruptions

The recent increases – and threat of increases – in tariffs are causing disruptions to today’s retail supply chains. According to a new report from BRP: ‘Tariffs, Terrorists & Tsunamis: Minimize the Impact of Supply Chain ...

Thumbnail-Photo: Walmart plans more distribution centers in China...
24.07.2019   #omnichannel #logistics

Walmart plans more distribution centers in China

Walmart announces investments of $1.2 billion to upgrade logistics

Ryan McDaniel, Senior Vice President of Walmart China Supply Chain, announced that Walmart will increase its investment in its supply-chain logistics. In addition to building the first customized perishable food distribution center, the South China ...

Supplier

EUROEXPO Messe- und Kongress-GmbH
EUROEXPO Messe- und Kongress-GmbH
Joseph-Dollinger-Bogen 9
80807 München