Supply chain leaders cite the need to reduce costs, improve the customer experience and expedite delivery times as their top-three challenges, yet fewer than half are leveraging their supply chain data to inform their strategy and 14% aren’t using supply chain data at all to make decisions. That’s according to survey findings released today in a new report, “Data-Driven Decisions: Why Many Supply Chains Are Falling Behind,” by leading supply chain visibility provider FourKites.
FourKites partnered with international research data and analytics group YouGov to poll 500 supply chain leaders across every industry in the US and UK to understand how they’re digitizing their supply chains and mitigating risk. While most respondents (72%) recognize the importance of connecting disparate supply chain data, and nearly half (42%) plan to invest in technology over the next six to 12 months, the majority of supply chain leaders are struggling to extract the information they need to make the data-driven decisions that will help them meet their strategic objectives. Specifically, 48% of respondents say their supply chain digitization is sub-par, and 43% say they have no single source of truth for their data.
“Two-thirds of responding companies are using supply chain data only for simple, day-to-day tasks — many have yet to realize the opportunity to look at their supply chain end-to-end to make informed, strategic decisions,” said FourKites Chief Strategy Officer Fabrizio Brasca. “At the root of this issue is the ongoing struggle to fully digitize the supply chain and have a single source of data. For instance, with a real-time view of inventory levels across facilities, supply chain leaders can proactively mitigate the risk of stockouts and prevent orders from being cut, leading to a better end-customer experience.”
Key findings from FourKites’ report include:
-Only 45% of respondents are using supply chain data to make strategic decisions, while 14% say that supply chain data isn’t being used at all to make any type of decision
-48% rate themselves as “not great” or “struggling” at digitizing their supply chain
-43% struggle to integrate internal systems and have a single source of truth
-42% are investing in technology in the next six to 12 months to de-risk their supply chains. Investments are even more pronounced among enterprise companies, where 70% plan to increase tech investment.
-Nearly 52% of companies are diversifying their supplier/provider base in their efforts to de-risk their supply chains
The complete survey findings have been published in FourKites’ report, Data-Driven Decisions: Why Many Supply Chains Are Falling Behind along with expert perspective on the imperative to unify disparate systems into a single platform that helps leaders make rapid, data-driven decisions based on real-time information.
Having pioneered the real-time supply chain visibility category in 2014, FourKites helps companies eliminate silos across systems, stakeholders, modes and geographies, from transportation to the yard, order management and beyond. The platform houses the largest supply chain data set in a cloud-native, multi-tenant SaaS application that enables secure data sharing between most of the Fortune 500 and their supply chain ecosystems. In addition, new innovations like Fin AI (FourKites Intelligence Network) and My Workspace are supercharging customers’ decision-making capabilities by leveraging all of the data in the FourKites platform and third-party data sources to provide answers to supply chain questions faster than ever.
Leading global supply chain visibility platform FourKites® empowers business leaders with comprehensive visibility into transportation, yards, warehouses, stores and beyond. Tracking more than 3 million shipments daily across road, rail, ocean, air, parcel and last mile, and reaching over 200 countries and territories, FourKites combines real-time data and powerful machine learning to help companies digitize their end-to-end supply chains. More than 1,200 of the world’s most recognized brands — including 9 of the top-10 CPG and 18 of the top-20 food and beverage companies — trust FourKites to transform their business and create more agile, efficient and sustainable supply chains. To learn more, visit https://www.fourkites.com/.
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