Executive Briefings

Supply Chain Sector 'Needs Global Approach'

The global supply chain management industry is "in flux and changing", requiring a more sophisticated approach to managing the alignment of supply and demand, says Hamish Brewer, CEO of US-based supply chain management solutions group JDA Software.

Brewer said that the "massive shift" of manufacturing capacity to Asia over the past decade had seen a big effect on supply chain planning and execution, with companies having to move products around the globe to meet demand.

The dynamics of the global economy had changed, with economic growth in the "mature economies" having slowed while the emerging economies were "still growing strongly, meaning businesses had to manage "very different strategies" for their operations in different economies. Another change had been the growth of online e-commerce where consumers could "shop across boundaries".

"From a supply chain perspective, it creates a whole new paradigm in terms of the consumer supply chain, and that's affecting both retailers and manufacturers significantly," said Brewer.

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Brewer said that the "massive shift" of manufacturing capacity to Asia over the past decade had seen a big effect on supply chain planning and execution, with companies having to move products around the globe to meet demand.

The dynamics of the global economy had changed, with economic growth in the "mature economies" having slowed while the emerging economies were "still growing strongly, meaning businesses had to manage "very different strategies" for their operations in different economies. Another change had been the growth of online e-commerce where consumers could "shop across boundaries".

"From a supply chain perspective, it creates a whole new paradigm in terms of the consumer supply chain, and that's affecting both retailers and manufacturers significantly," said Brewer.

Read Full Article