Supply Chain Plays a Big Part in Business Success

Most executives are keenly aware of how effective management of their supply chains directly impacts their overall business, confirms a recent poll conducted by Harris Interactive for United Parcel Service. When asked to rate the effectiveness of their supply chains around the world, 66 percent of the business leaders rated highly their infrastructures in North America and 47 percent did so for Western Europe. However, only 16 percent were comfortable extending a high effectiveness rating to their supply chain in China. Yet, a stunning 80 percent of the executives surveyed say that China will be playing an important role in their company's growth objectives within the next three years, even though few think their supply chains in China are effective right now. Overwhelmingly, by a margin of 79 percent to 21 percent, the business leaders agreed that effective management of their supply chains would have "a large impact" on the ability of their companies to achieve their strategic objectives in the future. And, fully 70 percent of those surveyed agreed their CEO now views supply chain management as either "very" or "extremely" important. "Growth-oriented business leaders obviously get it," said UPS chairman and CEO Mike Eskew. "They understand what's at stake. Most of them see China as being very important to their company's growth. The need now is to do a better job of coordinating the flow of goods, information, and funds."
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