Supply Chain News / eSupply Chain

SC Management Systems Encourage Increased ROI, Says Latest Research

Constellation Research Inc., the research and advisory firm focused on disruptive technologies, announced the publication of “Current Trends in Supply Chain Management: Adoption and Customer Experience” by Frank Scavo, Constellation’s vice president and principal analyst.

This research report, based on a survey conducted by Computer Economics, finds that positive economic characteristics of SCM investments are encouraging further adoption of this strategic technology.

Some key findings of this report:

  • Organizations that have implemented SCM technology report strong return on investment (ROI), although they must carefully manage the total cost of ownership (TCO).
  • The strong ROI characteristics of SCM are encouraging smaller and midsize companies to join their larger peers in adopting the technology.
  • SCM technology providers offer increasingly sophisticated capabilities, at price points that encourage further adoption.
  • The complexity of these applications, combined with the need to change business processes, however, mean that organizations will need to focus on change management in order to realize SCM benefits.

The report provides enterprise buyers with a view of the current adoption trends and economic experiences of organizations that have implemented supply chain management (SCM) software. It also offers practical guidelines for implementation success. For SCM technology providers, this paper provides an overview of current market and investment trends among organizations planning or considering investment in new SCM capabilities.

“These days, even small and mid-size businesses have global supply chains and complex offshore manufacturing relationships,” Scavo said. “So, it’s not surprising that our survey found SCM adoption increasing among smaller firms as well as larger organizations.”

Based on data from the Computer Economics survey, this report quantifies the current adoption and investment trends for SCM systems as well as the benefits that drive companies to expand their SCM implementations.

The report assesses these trends by organization size, sector and geography. In terms of economics, the report analyzes the ROI and TCO experience of those that have adopted SCM along with current investment per SCM user. They conclude with practical advice for those considering investment in SCM technology.

This report fits into Constellation’s business-focused research theme: Technology Optimization and Innovation.

Download the report snapshot here, including eight sample pages.

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