Canadian firms are seeking to establish dynamic, responsive, automated and low-cost distribution centres to support their logistics global business strategies. Accordingly, investment in DCs in the country has increased by 106 percent over the past five years, mainly in Ontario, Alberta, Quebec and British Columbia. These and other findings are in a report prepared by Industry Canada, Canadian Manufacturers and Exporters and Supply Chain & Logistics Association Canada.

By collecting insights from industry, academia and international research organizations, and using economic analysis conducted by Industry Canada, this industry-academia-government partnership has produced a complete profile of logistics innovation and global business strategies in Canada.

Other findings indicate that small and medium-sized firms are investing in DCs to better respond to customer mandates and to integrate further into global value chains; logistics innovation is at the forefront of global value chain network integration, and supply chain mandates have a direct impact on innovation across value chains.

In addition, the top 20 percent performers in total landed cost and on-time shipment are more likely to invest in logistics network strategies - such as capability to electronically collaborate with networks of key suppliers and customers - and supply chain modeling applications.

The full report is available for download at http://www.ic.gc.ca/eic/site/dsib-logi.nsf/eng/h_pj00528.html.

Source: Industry Canada