Improving Supply Chain Resiliency and Agility Top Priority for Organisations over the Next 12 Months
Supply chains are becoming a key competitive differentiator
OTTAWA, CANADA, May 27, 2020 – Supply chain resiliency and agility is the biggest priority for nearly half (48%) of organisations over the next 12 months. Rounding out the top three priorities are operational efficiency (46%) and improving product compliance, quality, safety or environmental sustainability (44%), according to an in-depth research study carried out by International Data Corporation (IDC) and sponsored by Kinaxis® Inc.* (TSX:KXS), the leader in empowering people to make confident supply chain decisions in an unpredictable world.
In addition, the study which polled the views of more than 1,800 supply chain professionals found that nearly two-thirds (65%) of companies believe their supply chain planning capabilities are a source of competitive differentiation today. However, nearly a third (30%) of companies in EMEA today feel that their supply chain is either just on par with others, or at a competitive disadvantage.
It is clear that transforming supply chains into a competitive differentiator is not smooth sailing, with security concerns (35%) being the biggest barrier to digital transformation efforts, followed by legacy systems (33%) and technology expertise (31%).
John Sicard, CEO of Kinaxis said: “We are starting to see the use of modern digital technologies really driving supply chain transformation but there is still much work to do. Companies whose supply chains are less mature are falling behind in terms of being able to act on real-time insights and make use of accurate data to keep themselves ahead of the pack. It’s also evident that those that have a competitive advantage at the moment will need to continually invest in technology to maintain this advantage over the coming years.”
The research also discovered that 35% of organisations plan to invest in the application of AI and machine learning but have not yet surpassed the use case or roadmap planning stage. More than 60% are starting to or are using these technologies today.
Sicard added: “It’s imperative that companies prepare their supply chains today, and lean into digital transformation to improve all business operations, including integrated business and supply chain planning. The impact of technology on the supply chain, and its implications for planning transformation specifically, leads to supply chain resiliency and agility allowing companies to be better prepared to respond to and navigate business disruptions.”
Kinaxis helps companies ensure their supply chains are always in sync by connecting data, processes and people on a single RapidResponse platform, leveraging its unique concurrent planning technique. With end-to-end visibility and collaboration tools, teams can shorten planning cycles, cut manufacturing lead times, reduce inventory and improve on-time deliveries. These improvements not only increase the company’s supply chain maturity, but also its resiliency.
For the global survey news release and research methodology visit Kinaxis.com.
*Source: IDC White Paper, sponsored by Kinaxis, Supply Chain Planning Drives Better Business Performance in the Modern Enterprise, May 2020
- IDC White Paper, sponsored by Kinaxis, Supply Chain Planning Drives Better Business Performance in the Modern Enterprise
- Kinaxis eBook, Resilient. Agile. Competitive: Supply chain transformation for lasting innovation
About Kinaxis Inc.
Eliminating volatility in your supply chain is impossible, but managing it is not. Trusted by top brands, Kinaxis® gives people the confidence to know they are making the best supply chain planning decisions to maximize business performance. We solve complex business problems in easy-to-understand ways by combining human and machine intelligence to plan for any future, monitor risks and opportunities and respond at the pace of change. With the support of our community of supply chain experts and using our unique concurrent planning technique and single integrated planning platform, customers can realize higher revenue, lower costs and fewer risks. For more Kinaxis news, follow us on LinkedIn, Twitter or Facebook.
Certain statements in this release constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements include statements as to Kinaxis' growth opportunities and the potential benefits of, and demand for, Kinaxis’ products and services. These statements are subject to certain assumptions, risks and uncertainties, including our view of the relative position of Kinaxis' products and services compared to competitive offerings in the industry. Readers are cautioned not to place undue reliance on such statements. Kinaxis' actual results, performance, achievements and developments may differ materially from the results, performance, achievements or developments expressed or implied by such statements. Risk factors that may cause the actual results, performance, achievements or developments of Kinaxis to differ materially from the results, performance, achievements or developments expressed or implied by such statements can be found in the public documents filed by Kinaxis with Canadian securities regulatory authorities. Kinaxis assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law.