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Study_Reveals_Critical_Delays_in_Supply_Chain_Response_Times_Globally

Study Reveals Critical Delays in Supply Chain Response Times Globally

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Study Reveals Critical Delays in Supply Chain Response Times Globally

by Richie
04/17/2024
in Industry, Supply Chain, Supply Chain Digitalization

A recent global study conducted by the International Data Corporation (IDC) and sponsored by Kinaxis Inc. has unveiled concerning statistics about the responsiveness of supply chains worldwide. According to the research, a significant 83% of supply chains are unable to react to disruptions within a 24-hour period. The findings underscore a notable lag in enhancing supply chain agility and resilience, even as optimism grows for the role of advanced orchestration tools in future improvements.

The survey included 1,800 decision-makers from diverse supply chain sectors across the globe, shedding light on the widespread struggle to maintain operational flexibility amid various disruptions like geopolitical conflicts and natural disasters. On average, it takes companies five days to effectively respond to a crisis, a timeframe that varies significantly across industries. The survey highlights that while some sectors like oil and gas show better responsiveness, with 28% able to respond within a day, others like aerospace and life sciences are less agile.

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Despite the slow progress overall, there is a strong belief among 97% of the respondents that better supply chain orchestration tools could dramatically enhance performance. These tools, especially those enhanced with AI and general AI capabilities, are seen as critical to gaining the needed transparency and agility to overcome the current shortcomings.

Furthermore, 25% of those surveyed are planning to adopt new technologies within the next year to boost their resilience, and 33% are specifically looking for AI-enhanced supply chain orchestration platforms. However, 37% of respondents cited the challenge of finding the right vendor as a major barrier to adopting these advanced applications.

The report not only reflects the ongoing challenges but also the potential for significant improvements if supply chains can leverage new technologies effectively. As John Sicard, president and CEO at Kinaxis, states, these advancements could transform supply chain officers into pivotal figures capable of turning potential crises into opportunities for demonstrating enhanced reliability and efficiency.

Get the latest supply chain report news insights at The Supply Chain Report. For international trade resources, visit ADAMftd.com.

#TheSupplyChainReport #SupplyChainNews #SupplyChainResilience #DigitalTransformation #AIinSupplyChain #GlobalSupplyChain #OperationalAgility #CrisisResponse #TechAdoptionInSupplyChain

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