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Supply Chain Manufacturing Distribution : SCM Industry Solutions
Outsource Manufacturing Without Compromising Value
Manufacturing companies have never faced greater challenges and opportunities than in today's highly competitive and saturated market. It drives companies to move production to low-cost countries, whether to own units or by outsourcing to partners. No doubt that this promises core product cost advantages, but also increased complexity with longer and varying lead times, and a more global supply chain to master.
Some take the consequence and outsource manufacturing and focus only on distribution as a Brand Designer, with outsourced manufacturing – not least in consumer-packaged goods (CPG).
This is further fueled by international growth through acquisition of local brands and expansion of those brands across regional borders. We see a trend amongst many companies to integrate vertically and establish a retail operation that competes with the traditional customer base. And what are the Retailers doing with private label goods?
There is an obvious opportunity to make supply chain, or rather demand chain coordination across divisions, production sites and warehouses a competitive advantage. These efforts are being compromised, however, by a patch work of ERP and heavily modified business systems for all these partners or acquired companies. It makes taking a "global" order from a customer virtually impossible, not to mention to receive and fulfill it to meet the customer's expectations.
The need to cater to the unique needs of each customer has never been greater, and the challenge to offer trade promotions and services that their customers' value most makes collaboration initiated by the manufacturer a must.
We can help you with solutions that serve all your customers, across divisions, sites and geographies.