Regional and bilateral free-trade agreements offer big potential savings to companies that are able to manage them effectively. Having the right technology is a critical key to success.

The interdependence of design and operational excellence is leading companies to realize that these competencies must come together. For that to happen, barriers between product development and supply chain management have to come down.

So-called 'soft costs' are embedded in operations, but invisibility doesn't mean there any less real or detrimental to the bottom line.

If the two supply chains could be truly interwoven, there is the potential to shorten the procure-to-pay cycle, reduce the costs of goods sold and free working capital. So why aren't more companies doing it?

Companies need a rigorous, multi-pronged approach to prevent faulty products from ever reaching the market, and careful plans for efficiently executing a recall should one become necessary.