The Results Are In: itelligence Supply Chain Benchmarking Survey

After much anticipation, the time has come to unveil the results for the itelligence supply chain benchmarking survey. Our survey respondents represent the CPG, Industrial Machinery and Components Manufacturing, and Wholesale Distribution industries. Out of all the North American responders, 84% work as Directors or higher, with 94% in finance, IT, supply chain or operations. The participants report various degrees of supply chain performance and IT integration. As you are reviewing the results, it is interesting to keep in mind that nearly half (47%) of respondents experienced a 0-5 percent year-over-year revenue growth. Benchmarking, or keeping a continuous “finger on the pulse” of your industry and competitors, will allow for more opportunities to enhance processes and achieve better returns.

The survey results are meant to be an indication of where you stand in relation to your peers. And itelligence can help you further identify areas for growth and improvement and offer expertise to keep your needle moving in the right direction.

So, without further ado, let’s take a look at the results:
• Almost half conduct collaborative supply chain planning with some suppliers but there is still 26% who indicated they do not collaborate. 26% do so with the top 20 percent of their suppliers and 22% do so with the top 10 percent of their suppliers.
• Just over half conduct collaborative demand planning with some customers while 31% of responders indicated they do not collaborate with customers. Of the half that do, 28% engage in such planning with more than 20 percent of their customers and 23% engage with the top 10% of their customers.
• The top priority for supply chain is a balanced approach, where 74% of responders are using tools like product profitability and customer segmentation/profitability to differentiate services—versus focusing supply chain priorities around just cost or just service.

We’ve talked a lot recently about key performance indicators (KPIs). Here’s what our responders said about measuring their performance goals:
• 42% indicated they measure supply chain effectiveness through an integrated on-time-and-in-full measure approach.
• 64% say they seldom miss their perfect order goals, another 20% are looking for ways to meet more aggressive targets.
• The measurement of customer profitability seems to be somewhat split. While 74% do measure customer profitability, only 35% incorporate the information into collaborative business planning. Further, 26% do not measure customer profitability.

We’ve shown how itelligence has helped companies like you in CPG, wholesale distribution and manufacturing improve business with SAP, using KPI’s to measure success. Here’s what our responders had to say about their own tech abilities:
• 56% of responders indicated they significantly utilize IT and applications with some manual/spreadsheet support to facilitate financial management and financial decision making.
• 35% of responders indicated they have fully integrated IT tools that are used across functions to support operations; whereas 26% indicated they have state-of-the-art IT tools that are used across functions, but which are not integrated.
• Finally, 68% of responders indicated that most of their products meet expectations, with another 20% indicating that all their products meet expectations—thereby exhibiting a strong level of confidence in the current ability to meet market and customer expectations.

What do think about these results? Do any of the findings surprise you? How does your company fare in comparison? If you aren’t sure, maybe it’s time to do your own supply chain benchmarking. Contact itelligence and we’ll help you get up to speed in no time.

Thanks to everyone who responded to our survey. To see the full results, click here.

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