IDC asserts Integrated Supply Chain Execution drives competitive advantage
Jun 27, 2017
New IDC MaturityScape helps manufacturers define, measure, and implement an integrated approach to supply chain execution
FRAMINGHAM, Mass., June 27, 2017 –The objective of an integrated approach to supply chain management is to create a seamless alignment across supply chain execution processes and technology to optimize supply chain performance and drive speed and consistency. However, this approach is often challenging to implement as existing supply chain execution processes and technologies require a fundamental realignment and high degree of culture change to achieve. To help manufacturing organizations define, measure, and implement an integrated approach to supply chain execution, IDC today announced IDC MaturityScape Benchmark: Integrated Supply Chain Execution in the United States, 2017 (Doc #US42772017). This new report is based on IDC Manufacturing Insights' 2017 Integrated Supply Chain Execution MaturityScape Benchmark Survey of 150 respondents across the United States and should be viewed as a supplement to IDC MaturityScape: Integrated Supply Chain Execution 1.0 (IDC #US40152216). Together, the two studies provide a comprehensive overview of IDC's Integrated Supply Chain Execution Maturity Model.
"An integrated approach to supply chain execution provides a mechanism to drive competitive advantage by enabling speed, efficiency, and reliability into the supply chain. Organizations that take an holistic approach to designing supply chain processes and equipping the processes with the right technological toolset are in a better position to drive competitive differentiation through the supply chain."
IDC's Integrated Supply Chain Execution Maturity Model defines five stages of integrated supply chain execution maturity and the critical competencies, measures, outcomes, and actions that are required to progress across the maturity model. Key findings of the IDC MaturityScape Benchmark Survey for integrated supply chain execution research include:
- The majority of manufacturing organizations remain in the earlier stages of integrated supply chain execution maturity, although most have evolved beyond the ad hoc stage, which is typical of inefficient silo operations.
- The highest percentage of organizations (46.9%) fall into the opportunistic stage. These organizations understand the need for an integrated approach to supply chain execution but remain encumbered by the presence of siloed operations.
- The category of people, representative largely of leadership and culture, is the area most differentiated between "survivors" and "thrivers." Thrivers are more likely to be further up the maturity model with more than half being at least at the repeatable stage with regard to people.
- Organizations that are leading in integrated supply chain execution have focused on creating cross-functional collaboration and are aligning performance metrics to promote value chain collaboration and accountability. Survivors are more likely to take a siloed approach to performance and focus on site-specific or business unit performance.