By investing in streamlined supply chain planning, companies can maximize efficiencies, minimize costs and deliver exceptional value to their customers, a survey by consultancy CEL has found.
Demand and supply chain management specialists in emerging markets conducted an industry survey on supply chain planning to uncover valuable insights and address the challenges companies face in this critical area.
The results shed light on the current state of supply chain planning practices and provide a roadmap for organizations to improve their planning capabilities.
The survey across industries and regions captured responses from supply chain professionals, decision makers, and industry experts.
It found that, on average, companies spend 41 percent of total planning time preparing data, underscoring the need for efficient tools and processes to streamline this process.
When it comes to technology tools and platforms, 30% of companies use dedicated planning software, while 35% still rely on Excel spreadsheets, demonstrating the importance of adopting advanced planning technologies to improve efficiency. accuracy, collaboration, and overall planning effectiveness.
More than 44 percent of respondents identified unpredictability of demand as the most challenging aspect of supply chain planning. This underscores the need for strong demand management practices and the incorporation of real-time data to improve forecast accuracy.
About 16.7 percent of companies do not integrate finance into their planning process, representing a missed opportunity to align financial goals and objectives with supply chain planning efforts.
In terms of satisfaction with planning tools, 67 percent expressed dissatisfaction with what they currently have, indicating significant room for improvement in technology solutions to meet the changing needs of supply chain professionals.
Julien Brun, Founder and Managing Partner of CEL, commenting on the results of this survey, noted the critical role of effective supply chain planning in today’s competitive landscape.
“Effective supply chain planning is the key to unlocking operational excellence and driving business success. Studies have shown that companies with strong supply chain planning processes experience an average cost reduction of 15 percent and inventory reduction of 20 to 30 percent.
“In addition, they achieve an impressive 99% on-time delivery rate and a 20% increase in customer satisfaction. By investing in optimized supply chain planning, organizations can maximize efficiencies, maximize costs, and deliver exceptional value to their customers.”