CSC research shows that more and more supply chain officers are rising to the highest levels of their organizations. Our infographic explains why. Leading corporate supply chain operations are driving revenues and decreasing costs with three key capabilities – upstream and downstream visibility, powerful analytics and the flexibility to take action when needed. http://www.csc.com/insights/flxwd/82542-supply_chain_management_infographic_three_keys_to_excellence_by_csc

1. 1 TAKING THE LEAD IN THE SUPPLY CHAIN
CSC’s annual supply chain survey took a closer look at the key areas that are driving success and promotions in the supply chain.
LEADING Our survey classified corporate supply chain operations in
three groups: leaders ( ), followers ( ) and laggards ( ).
BY EXAMPLE Leaders tend to have a more global view of supply chain management and are typically
early adopters of new technologies. In this year’s survey, leaders influenced revenue gain at
double the rate of laggards. They were also 33% more effective at cost reduction.
SUPPLY CHAIN IMPACT
COSTREDUCTION
LEADERS
8% 6% 5% 6% 8% LEADERS
11%
FOLLOWERS LAGGARDS LAGGARDS FOLLOWERS
REVENUEINCREASE
SUPPLY CHAIN IMPACT
With their unique ability to drive cost reduction and increase revenues, At what level in the company is the
TODAY’S SUPPLY CHAIN OFFICERS ARE highest ranking supply chain official?
WIELDING MORE INFLUENCE
THAN EVER BEFORE. 23% 40% 24% 13%
C-Level Senior VP/VP Director Other
2 GAINING AN EDGE WITH VISIBILITY
We asked respondents to tell us whether they had good visibility into each of 10
key ‘dimensions’ of the supply chain. The results show that many firms are lacking
visibility in important areas – both downstream and upstream.
WHO SEES
WHAT BEST
LOOKING BOTH WAYS Visibility into the 10 key supply chain
dimensions varies greatly by industry.
Amounts below represent the percentage of survey Total scores below are industry averages
respondents who said they had visibility into each area. out of a maximum score of 10.
UPSTREAM DOWNSTREAM MANUFACTURERS
cost of supplies revenues from sales Dimensions
Visible 3.3 Downstream : 1.5
Upstream : 1.8
SUPPLIER
INVENTORY 52% 44% POINTRECORDS
SALE
OF
WHOLESALERS
MARKET
SUPPLY 70% 56% DEMAND
FORECASTS
Dimensions
Visible 3.9 Downstream : 2.0
Upstream : 1.9
10 83% OVERALL RETAILERS
DIMENSIONS MARKET DEMAND
OF VISIBILITY
Dimensions
Visible 4.1 Downstream : 2.1
Upstream : 2.0
54% LOCATIONGOODS
FINISHED
OF
MANUFACTURING
ORDER
LEAD TIMES 80% 49% CUSTOMER
PROMOTIONS
RETAILERS
Dimensions
Visible 4.9 Downstream : 2.5
63% 44% CUSTOMER
SHIPMENT Upstream : 2.4
NOTIFICATION INVENTORY
3 OUTPERFORMING WITH ANALYTICS
Getting reports on vital supply chain information has always
been important, but what’s now equally important is having
the analytics in place to interpret and act on that data.
INSIGHTS High
TO GROW FASTER
Visibility
AVERAGE BUSINESS
The ability to analyze, visualize and interpret data from a wide variety
GROWTH
of sources is essential to gaining an advantage in today’s supply chain.
ANALYTICS BY INDUSTRY
With an average analytics capability score of just 17 out
of a possible 30, most firms have a ways to go in
maximizing their use of analytical tools and techniques.
3.75% 3.9%
3.7%
Low High
17/30 Auto 18/30 Retail
Analytics
3.55% Analytics
14/30 Machine 17/30
Wholesale
16/30 Chem/Pharm 16/30 Food
18/30 Elect 19/30 Non-Product
17/30 Consumer
17 Mining/Petrol
Low
/30
16/30 Other Mfg Manufacturing Service Visibility
Our report shows that a firm that combines high visibility with high analytics capabilities is almost twice
as likely to be a fast grower (top 20% of growth) than one that is below average in both skill areas.
4 OUTMANEUVERING WITH FLEXIBILITY
AGILITY TO SEIZE High
Visibility
OPPORTUNITIES
Flexibility means being able to act quickly when change is needed in products,
AVERAGE INCREASE
PROFIT
processes or your organization as a whole. Flexibility enables lower inventory, higher
customer service, and timely response to new threats, opportunities or trends.
IN
4.1
High
%
Visibility
AVERAGE BUSINESS
GROWTH 3.25%
3.3%
Low 3.1% High
Flexibility Flexibility
3.3% 4.0% Low
Visibility
3.4%
Low High
Flexibility 3.25% Flexibility
Our survey indicates that, on average, companies that
combined high visibility with high flexibility achieved
Low significantly higher business growth and profits.
Visibility
THE BEST OF ALL WORLDS
The CSC global supply chain survey included firms from 20
industries with annual sales from $250 million to well over a billion. VISIBILITY
The results clearly indicate that taking the
lead in the supply chain today requires high
scores in visibility, analytics and flexibility.
Leaders have numerous visibility systems in place, the analytical capabilities
ANALYTICS
to make sense of that data, and the flexibility to respond to challenges and FLEXIBILITY
opportunities as they arise. To learn more, download our Ninth Annual
Global Survey of Supply Chain Progress at csc.com.
Source: CSC Ninth Annual Survey of Supply Chain Progress, 2012. © 2012 COMPUTER SCIENCES CORPORATION