Supply Chain Technology for Manufacturers (Technology Focus)

This publication has been discontinued on July 19, 2011.

Introduction

Abstract

Overview

Introduction

As manufacturing becomes more global, low-cost production regions are seeing manufacturers come under increasing competition and margin pressure as they try to keep pace with shortening customer demand cycles.

Scope

• This brief looks at how supply chain management software affects different processes within a manufacturing company.
• Examines the revenue opportunity for SCM software at a global level as well as at a country level for the US, UK and Germany.

Report Highlights

To escape pressures such as falling profit margins manufacturers are looking to technology to support their businesses. In particular, supply chain management applications are being implemented in a range of different manufacturing industries to help manage business critical data and provide additional functionality and enhancements.

Reasons to Purchase

• Understand how supply chain management applications can help manufacturers lessen the impact of market pressures.
• See the revenue opportunity for SCM software along with a brief outlook on the competitive state of the market in the near future.

Table of Contents

• DATAMONITOR VIEW
  • CATALYST
  • SUMMARY
  • METHODOLOGY
• ANALYSIS
  • SCM helps manufacturers to refine their processes in avariety of different operational areas
    • SCM solutions provide visibility into key processes andassist with optimization
    • Multiple manufacturing processes are supported andenhanced by modern SCM solutions
      • Demand driven manufacturing is assisted by SCM in theareas of planning and scheduling
      • Supplier relationship management is boosted by theaddition of a SCM solution
      • SCM helps procurement and strategic sourcing throughautomation
      • SCM helps manufacturers avoid unnecessary logisticscosts
      • Warehouse management helps optimize space on the actualplant floor
      • Maintenance management ensures that assets achievemaximum uptime and life
    • The overall impact of SCM is to optimize variousprocesses within manufacturing companies
  • The global market for SCM is growing at a steady rate
    • The US spends the most on SCM software in themanufacturing industry
    • The automotive industry will lead the UK's spending onSCM software
    • Germany's strength in manufacturing makes it a strongadopter of SCM technology
    • Manufacturers have SAP at the front of their minds withrespect to future SCM investment
• APPENDIX
  • Definitions
  • Extended methodology
  • Further reading
  • Ask the analyst
• List of Figures
  • Figure 1: Global adoption of SCM software is steadybut growth will decline after 2008 ($m)
  • Figure 2: Automotive and high-tech are the two largestspenders on SCM software worldwide ($m)
  • Figure 4: The CPG industry will become the biggestspender on SCM software in the US by 2010 ($m)
  • Figure 3: Automotive, CPG and high-tech lead UK SCMspending ($m)
  • Figure 5: Automotive dominates the market for SCMsoftware in Germany ($m)
  • Figure 6: SAP gains the largest mindshare for SCMamong manufacturers

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