LLamasoft: Supply chains focused too much on internal issues

A new poll from the supply chain design software developer found that companies are inhibited by lack of collaboration with external partners as well as a lack of end-to-end understanding of supply chains.    Sixty percent of supply chain managers believe their organizations are focused too much on tactical, internal concerns and not enough on collaborating with external partners, according to a survey from the supply chain design software provider LLamasoft.
   The survey canvassed opinion from 120 senior supply chain professionals on a range of performance related issues. Other findings include:
     • Fifty percent believe their ability to react to unexpected events is hampered because of incorrect or late inventory and replenishment data.
     • Twenty-five percent said that daily replenishment requirements as part of supply chain optimization are not being supported with the right investment.
     • Twenty percent believe the reason cross-enterprise collaboration fails to yield the expected benefits is because executives do not engage with their counterparts at a strategic level.
     • Fifty-two percent saw supply chain optimization as the main tool for reducing costs while maintaining standards of service in the face of globalization.
     • Thirty-seven percent indicated that talent is developed with insufficient end-to-end understanding of the supply chain, compounding an existing silo mentality that inhibits optimization.
   The poll was conducted during a webinar run jointly by LLamasoft and Sabena Technics to consider the challenges of increased focus on reducing internal costs while developing new markets, at a time when global customer demands and expectations are higher than ever before.
   “As globalization increases cost pressures and data availability, collaboration and talent become the foundations of success,” said Kevin Boake, senior director of supply chain visibility solutions for LLamasoft. “Organizations seeking greater cost-effectiveness in their supply chain globally need to ensure they have the right solutions in place, delivering accurate and timely information to teams for full end-to-end visibility.”