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: Shopify to acquire 6 River Systems
17.09.2019   #logistics (software) #warehouse management

Shopify to acquire 6 River Systems

A team of experience in fulfillment software and robotics

Shopify Inc., the leading multi-channel commerce platform, today announced that it has reached an agreement to acquire 6 River Systems, Inc., a leading provider of collaborative warehouse fulfillment solutions. In June, Shopify introduced the ...

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: Start-up offering consumers free same-day delivery...
09.07.2019   #customer satisfaction #logistics

Start-up offering consumers free same-day delivery

New online service for online shopping convenience with no membership fees

A new e-commerce company called Waybuy is changing the way consumers shop online, combining the best in convenience and affordability to make it easier than ever to get the products shoppers need.Founded by Houston-area married couple, Ann and Erik ...

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: “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: 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: 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: 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: UPS applies for certification to operate drone delivery unit...
05.08.2019   #logistics #delivery

UPS applies for certification to operate drone delivery unit

Subsidiary will develop and operate unmanned aerial systems

UPS said it has applied to the U.S. Federal Aviation Administration (FAA) for Part 135 certification to operate commercial drone flights in the UPS® network under a subsidiary business called UPS Flight Forward, Inc.The new subsidiary is a ...

Thumbnail-Photo: eBay to launch end-to-end fulfillment service for sellers...
15.08.2019   #services #logistics

eBay to launch end-to-end fulfillment service for sellers

Storing and shipping through logistics partners managed by eBay

eBay is introducing Managed Delivery, a cost-effective fulfillment service to launch next year, beginning in the U.S., that will provide shoppers faster and more reliable delivery on millions of popular products. The initiative will enable sellers ...