Cost reduction remains the top priority for completing network studies.
Raleigh, NC (PRWEB) December 07, 2011
Significant cost savings and higher customer satisfaction can be found within the design of supply chain networks, according to a recent Network Design Practices Report by Tompkins Supply Chain Consortium.
“Cost reduction remains the top priority for completing network studies,” says Bruce Tompkins, Executive Director of the Consortium and author of the report. ”And with the growing complexity of supply chain networks, companies are beginning to realize the importance of frequent studies. Over the past two years, the length of time between network studies has dropped from two years to 18 months.”
The report also suggests that network design practices are becoming more sophisticated to match the complexity of the networks they are modeling. And as the studies are occurring more frequently, companies often seek outside help for tools and expertise to increase their performance.
Additional survey results include:
- A small percentage of respondents view their supply chain networks as optimized, and this percentage is declining over time.
- In some organizations, network planning is viewed as a continuous process to keep up with shifting demands.
- Network planning horizons are shrinking from 5-10 years to roughly 4 years.
- Two years ago, 31% of respondents were satisfied that their design tools met all their requirements versus 8% today.
- Most network design studies are completed with purchased software, whether by internal resources or outside help.
Download the report at: http://www.tompkinsinc.com/publications/reports/network-design/.
The Consortium also has a LinkedIn group and Xing group for organizations that are interested in staying current on the latest in supply chain benchmarking and best practices.
About Tompkins Supply Chain Consortium
Tompkins Supply Chain Consortium is the premier source for supply chain benchmarking and best practices knowledge. With more than 500 participating retail, manufacturing and wholesale/distribution companies, the Consortium sponsors a comprehensive repository of 17,000-plus benchmarks complemented by search capabilities, online analysis tools, topic forums and peer networking for supply chain executives and practitioners. The Consortium is led by the needs of its membership and an Advisory Board that includes executives from Ingram Micro, Kane is Able, Limited Brands, Miller-Coors, The Coca-Cola Company, Target and University of Wisconsin. To learn more about how your company can become a member of the Supply Chain Consortium, contact John Foley, 919-855-5461 or visit http://www.supplychainconsortium.com.
MEDIA CONTACT: Keri McManus, 919-855-5516