Facts & Stats
As part of the Collaborate to Innovate initiative, the Business Performance Innovation (BPI) Network and CMO Council has aggregated statistics on the market impacts, supply and value chain management, customer collaboration and innovation cultures across various regions and industries. To learn more, select a topic from the menu below.
| In 2009 the biggest cuts in marketing budgets are made in Russia (28,6%) and Romania (22,7%), companies reducing budgets up to 30%. Similar budgets as in 2008 are in big percentages in Hungary (44,4%), Slovenia (43,9%) and Poland (43,4%).(I-Newswire.com)Source |
| Nearly half (40%) of email marketers plan on increasing their budgets for the channel in 2010 and 47 percent said their budgets would stay the same, according to a new survey by Silverpop.(GoSocial.us)Source |
| Email marketing services provider Silverpop surveyed 300 email marketers in November and found 36% of them didn't think the recession would end anytime soon, although only a fifth thought the economy wouldn't improve before the fourth quarter of 2010.(Haymarket Media)Source |
| Business logistics costs dropped 18.2% last year to $1.1 trillion, from $1.34 trillion the year before, marking the sharpest decline ever recorded by the group in its annual assessment.Source |
| Logistics in 2009 composed an all-time low 7.7% of nominal GDP, down from 9.3% in 2008Source |
| Transportation costs fell more than 20% as trucking companies consolidated services to accommodate lower volumes and inventory carrying costs fell approximately 14%.Source |
| Our InformationWeek Analytics Outlook Survey of 552 IT pros finds that 55% of respondents say their companies will increase IT spending this year, while only 19% plan to cut IT spending and 26% plan to keep it flat. Source |
| Overall, IT spending will increase 7.5% in the U.S. this year, 7.1% globally, Forrester Research forecasts.Source |
| Our Outlook survey indicates that IT organizations remain way too tactical. Less than 10% of respondents to our survey said their organizations excel at driving innovation or revenue growth, for example, and only 20% see them as a "business driver." Source |
| Two-thirds of global marketing professionals report friction between IT and marketing for a variety of reasons, while the other third feels the departments are in sync, according to [pdf] a new survey from Alterian. Whether the conflict is a result of implementation issues (21%), budget (17%), prioritization (15%), or tool selection (13%), Alterian analysis indicates the majority of marketing professionals are in need of a solution to mitigate the above issues with IT so that both can perform their jobs more effectively.Source |
| North American and European respondents (34% each) are about 41% more likely than others (24%) to say there is no friction between IT and marketing in terms of selecting and implementing social or online marketing tools.Source |
| Respondents from all three geographical areas who report IT/marketing friction are most likely to say it revolves around implementation (23% of Europe and rest of the world, 21% of North America). North America (12%) and Europe (14%) are much less likely than the rest of the world (21%) to say friction revolves around tool selection.Source |
| Overall, 77% of respondents see some level of risk of their brand (or client) not being as engaged with customers as it should be. Most (57%) say they are somewhat at risk but recognize the problem areas and are taking action. Another 13% say they are at risk, know they need to better engage, but have yet to take action. And 7% say they are at risk with some major concerns but don’t know where to start. Only 23% report full brand engagement with customers.Source |
| Saudi Arabia ranks highest in the Innovation Optimism Index at 88, followed by UAE at 86 while the average of the 12 countries is 75, underscoring the increasing appreciation in the Arab world on the value of innovation for its positive impact on the society. Some 90 per cent of the UAE respondents said the nation was very or quite successful in allocating its policies to improve education and in creating jobs, while 92 per cent said the policies are in the right direction to sustain healthcare, and 84 per cent said the policies can improve energy security. Source |
| In the Innovation Context Index, which ranks the satisfaction level on the innovation environment in their countries, Saudi Arabia and the UAE rank at 72 and 70, respectively - much higher than the 12-country average of 59. An overwhelming 76 per cent of the respondents in the UAE, followed by Saudi Arabia (62per cent), say public private partnerships are essential in developing innovation. Source |
| Some 76 per cent of UAE respondents said innovation will help manage energy costs while 66 per cent from Saudi Arabia endorsed the view. In driving the efficiency of energy consumption too, innovation has a strong role, observed most respondents (Saudi Arabia – 82 per cent, UAE – 74 per cent). The figures were higher than the international average, highlighting the confidence of the region in innovation-powered energy use efficiency. Source |
| In a similar trend, the Saudi Arabian and UAE response to innovation to improve healthcare efficiency was also recorded as higher than the international averages. Some 92 per cent of Saudi and 82 per cent of UAE respondents said innovation by companies operating in their countries could improve overall health of the population. Source |
| With significant changes in customer shopping behaviors, three-quarters (74 percent) of retailers in 2011 will increase their consumer insight and data gathering initiatives (up from 65 percent in 2010).Source |
| In reviewing customer insight initiatives, 78 percent of the execs ranked customer loyalty programs first, up from 65 percent a year ago.Source |
| Among supply chain initiatives, greater focus will be made for optimizing the distribution network, increasing from 38 percent in 2010 to 52 percent in 2011, and for cross-docking, up from 17 percent to 24 percent.Source |
| With 57 percent of application development projects completed on-time, and 67 percent of projects delivered on-budget, many IT organizations attribute their inability to meet project schedule to poor initial scope, project scope creep and resource constraints.Source |
| 2010 IT spend increased 2.5%, almost twice the expected increase of 1.3% clients indicated last year. Yet, 2010 IT spend as a % of revenue increased by only 0.1% to 3.5%. Understanding IT intensity relative to revenue, expense and the workforce is now a communication mandate.Source |
| The Gartner 2011 CIO Survey reveals that almost half of all CIOs expect to operate their applications and infrastructures via cloud technologies within the next five years. This change will necessitate that CIOs reimagine IT and lead their organizations through a process of creative destruction.Source |
| More than 80 percent of respondents said that green supply chains – in which companies make purchasing decisions based on non-financial criteria, including the environmental impact of vendors and their products – will become more important in the next three years. The study was conducted in December of 2010 among more than 200 executives with manufacturing operations with greater than $100 million in revenue.Source |
| Respondents showed that their IT infrastructure was not keeping up with their changing green supply chain needs. Only five percent rated their ERP software as “excellent” in its handling of green supply chain data while 54 percent rated their ERP solution as “poor” or “not at all helpful” in this regard.Source |
| Almost 77 percent of manufacturers participating in a recent survey said they are currently required by their customers to report on their environmental impact and that of their products or require their vendors to do so. As analyzed by IFS, it suggests that green supply chains are becoming the norm.Source |
| The latest Institute for Supply Management (ISM) Report on Business found that manufacturing is continuing to grow. The ISM's New Orders Index also increased 4.3 percentage points compared with the previous month, marking the 18th consecutive month of growth in the index.Source |
| A culture of openness contributed 36% to collaboration quality whereas the impact of a structure of decentralization or use of collaborative technology in strategy implementation each contributed 16% to collaboration quality.Source |
| Again the largest factor for collaboration quality had nothing to do with technology but with people and culture. Strategic planning and collaboration technology for strategic planning (not implementation) each contributed 6% and 5%, respectively.Source |
| The highlight of the research project was that 36% of a company’s performance was due to its collaboration index, 16& was due to strategic orientation and 7% was due to market and technological turbulence influence. Here is how collaboration affected the various aspects of business performance:Source |
| From the key numbers from the chart, collaboration impacts: * Profitability by 29% * Sales growth by 27% * Profit growth by 26% * 41% of forces driving customer satisfaction * Productivity by 36% * Product quality by 34% * Product development by 30% * Innovation by 30%Source |
| There is also indication that the companies with the most R&D (those in the $50–$100 million and $100 million or more annual R&D categories) report the highest incidence of innovation: 76% and 81%, respectively, for products in 2006–08, and 69% and 71% for processes.Source |
| Around 47,000 of the estimated 1.5 million for-profit companies (3%) performed and/or funded R&D in 2008 (table 2). According to the survey data, 66% of all these companies were product innovators in the 2006–08 period, and 51% were process innovators.Source |
| For nonmanufacturing industries (NAICS 21–23, 42–81), the overall incidence of innovation for the sector as a whole is relatively low compared with manufacturing: about 8% of nonmanufacturing companies reported product innovations (goods and/or services) in the 2006–08 period and about 8% reported process innovations. (In 2008, nonmanufacturing industries accounted for some 92% of the estimated 1.5 million for-profit companies.)Source |
| (NAICS 325), 41% of the companies were product innovators and 34% were process innovators. In the electrical equipment/appliances/components subsector (NAICS 335), 37% of the companies were product innovators and 28% were process innovators.Source |
| The manufacturing industries in aggregate (NAICS 31–33) exhibited a considerably higher overall incidence of innovation than did the population of companies as a whole. About 22% of all the companies in manufacturing industries reported one or more product innovations in the 2006–08 period and about 22% reported process innovations (table 1). (In 2008, manufacturing industries accounted for only about 8% of the 1.5 million companies in the survey’s respondent population.)Source |
| Preliminary data indicate that overall about 9% of the estimated 1.5 million for-profit companies were activen product innovators in 2006–08.3 The corresponding figure for process innovators was also about 9%.Source |
| The new data indicate that in the period 2006–08 about 22% of the manufacturing companies introduced product innovations (one or more new or significantly improved good or service) and about 22% introduced process innovations (one or more new or significantly improved method for manufacturing or production; logistics, delivery, or distribution; support activities)Source |
| Interestingly, North American respondents were two-thirds more likely than European respondents (60% compared to 36%) to select systems/data disparity and about 50% more likely (50% compared to 34%) to select non-conducive structure, culture or processes.Source |
| When asked to select the top three of 11 potential barriers to integrating online and offline data at their organization, the highest percentage (52%) of respondents said existing systems and data are too disparate, followed by organizational structure, corporate culture or internal processes not being conducive (45%).Source |
| By wide margins, the highest percentages of respondents currently using web data to perform customer analytics (57%) and make decisions about marketing offers and campaigns (65%) say they are doing so “somewhat” effectively. However, only combined respective percentages of 19% and 15% say they are doing so somewhat ineffectively or not effectively at all.Source |
| A higher percentage of respondents is currently using web data for customer analytics (50%) than to make decisions about marketing offers and campaigns (41%). Only 14% of respondents have no plans to use web data for either of these purposes, with most not doing so currently planning to do so in the next 12 months.Source |
| While companies have a relatively good understanding of what customers are most likely to do on their first visit and the reasons for making the first purchase and returning to their site, they have „limited‟ or „no understanding‟ about why customers abandon the shopping cart (78%) or leave the site without converting (81%).Source |
| As seen in Figure 2, selling more products or services online is the main business objective, relevant for the vast majority of respondents (84%). The next most cited objectives are improving customer satisfaction / Net Promoter Score (65%), generating more leads online (59%) and increasing online self-service (54%).Source |
| From a range of types of customer behaviour, company respondents are most likely to say that they have a „good understanding‟ of how people become aware of their brand or website (63%) or where people come from before visiting their website (62%).Source |
| Nearly a fifth of respondents (18%) rate their understanding of the overall online customer experience as „poor‟ (16%) or „very poor‟ (2%), and only 4% say they have an „excellent‟ understanding.Source |
| Around three-quarters of respondents (76%) say they normally discover problems with the customers‟ online experience through calls to customer service team and customer emails. It is clear that most companies are in reactive mode, typically reacting to problems when it is too late.Source |
| According to around three-quarters of respondents, the online channel is relevant for sales (78%) and contact or service (72%). Telephone is the next most used customer channel, with around two-thirds of companies saying that it‟s relevant for their business (62% for sales and 69% for contact or service).Source |
| While delivering a good online customer experience should involve every business function, a single department needs to own it and drive improvements across the organisation. For just under half of responding companies (45%), the e-commerce or digital team is responsible for the online customer experience. Marketing (27%) is the next most likely department to be responsible for this.Source |
| PwC's 14th Annual Global CEO survey found innovation is high on the executive agenda in virtually every industry. In all, 78 per cent of CEOs surveyed believe innovation will generate ‘significant’ new revenue and cost reduction opportunities over the next three years. But it is highest for those where technology is changing customer expectations. In both the pharmaceutical and entertainment and media sectors, for example, more than 40 per cent of CEOs believe their greatest opportunities for growth come from spawning new products and services.Source |
| Also flying in the face of the soft economy is the "premium" trend. An Innova Market Insights scan of new launches found that 14.2% of new products tracked during the first quarter of 2011 had a premium positioning, compared to 10.5% in 2010 and up from 8.4% in 2008; when the economic crisis began. These statistics indicate that consumers are willing to indulge, even – or perhaps especially – in times of financial woe.Source |
| The US market accounted for 25% of all new global products tracked with a "FairTrade" positioning [Apr 10-Mar 11], with an explosion in launch activity in the past two years. Innova Market Insights reported a doubling in tracked US launches with the typically higher-priced "FairTrade" positioning from 2008 to 2010, the worst years of the current economic collapse.Source |
| As a percentage of total US launches, new food products with an ethical positioning, grew from 3.7% in 2008 to 6.0% of introductions tracked in the first quarter of 2011. This paradigm shift comes as the wellness category is blurring to encompass new areas not typically considered as health and nutrition, such as "minimally processed," "locally sourced," and "sustainable" and appealing to a more "responsible" American consumer increasingly concerned about the environment and sustainability.Source |
| Currently, transpacific shippers are responding by conducting more advanced planning advanced (48 percent) increasing the number of carriers they use (38 percent) and increasing inventory levels (36 percent).Source |
| The survey, conducted by BDP International’s consulting arm Centrx and Saint Joseph’s University in Philadelphia, found that 92 percent of transpacific shippers had to make supply chain adjustments. Of the 290 senior executives participating in the survey, 37 percent were from the Asia-Pacific region, comprising shippers in the chemical, consumer goods, retail, healthcare and electronics industries.Source |
| Shippers in the Asia-Pacific trade (73 percent of the respondents) agreed that vessel operators should pass down the cost savings made by reducing knot-speed. Furthermore, 36 percent suggested that these savings be used to offset increased rates in the future.Source |
| APQC found that organizations that have implemented supplier category management enjoy fewer FTEs to order materials and services. Companies that do not have category management in place require at least 2.5 times as many FTEs to order materials/services compared to organizations with such programs.Source |
| APQC found that organizations that have implemented supplier category management enjoy shorter supplier lead time. They have a median supplier lead time of only six days compared to 28 days for companies with no category management.Source |
| APQC found that organizations that have implemented supplier category management enjoy a faster cycle time. Companies with category management programs show a median turnaround time of eight hours vs. a median 72 hours for others. Source |
| APQC found that organizations that have implemented supplier category management enjoy higher productivity. Top performing organizations with category management report 199% more POs processed per FTE (full-time equivalent). They also report 327% more PO line items processed per FTE at the median. On average, organizations with category management in place approve 46% more of their POs electronically. Source |
| Amid industry pressures and change, healthcare executives also are focused on investing in their supply chains to increase their competitiveness. Technology investments ranked as the No. 1 strategy, with 86 percent of respondents reporting that they would invest in new technologies over the next three to five years. Tapping into new global markets was the second top strategy for increasing competitiveness, with 81 percent of respondents reporting plans to expand in new areas in the next three to five years.Source |
| Top-performing executives strongly agreed more than twice as often as bottom performers with the statement, "We innovate and experiment in the field a lot. This drives our learning and is a competitive advantage."Source |
| Over the last 30 years, China’s industry has produced a compounded growth rate of 15.6% in value-added manufacturing, from almost RMB200 billion in 1980 to over RMB13,462 billion in 2009.Source |
| Although video is a bandwidth-intensive application, only 24% of organizations currently have a dedicated WAN for video collaboration and only 31% have dedicated bandwidth solely assigned to video.Source |
| In December 2008, Aberdeen surveyed the video usage patterns of over 180 companies and found that the top pressures for video collaboration were the need for real-time collaboration by geographically dispersed teams and the need to control increasing travel costs.Source |
| Video is still seen as a strong collaborative tool, but over the past two years, travel costs are perceived as only one of several core business pressures for pursuing video collaboration in the enterprise as only 31% of respondents identified travel cost as a key pressure for pursuing video conferencing.Source |
| From an L&D perspective, 56% of Aberdeen's organizations using video for corporate L&D stated that their main reason for using video was to connect employees with remote resources who had deep training and specialized skill sets. At the corporate level, video-led classes for operational skills and ongoing training are emerging as well, but not to the same extent as in the educational arena, where remote education is a clear profit center.Source |
| Operational departments such as supply chain and manufacturing departments have started using video to help manage logistics, support partner and supplier collaboration, and achieve stronger relationships with remote peers. However, only 21% of respondents have a current process to identify and enable business activities that can be optimized through video while another 44% plan to implement this type of process in the future.Source |
| In light of all these use cases and the volcanic eruptions of Eyjafjallajökull that closed down Western Europe in April 2010, some might find it surprising that risk management and disaster recovery did not rank more highly among Aberdeen respondents as a reason to pursue and improve video communications. Only 11% of respondents mentioned supply chain concerns and only 6% mentioned disaster recovery as a top concern for pursuing video collaboration.Source |
| Aberdeen found that 21% of respondents were able to link video collaboration with quantitative improvements in revenue in these areas, as a result of either the ability to design new products and services more effectively, or the additional benefits of delivering a sales presentation through a virtual face-to-face meeting.Source |
| The top emerging use case for revenue-based video collaboration is in business-to-business sales, where 34% of respondents have used video at some point to improve sales interactions.Source |
| While the European Union is advising banks to raise more capital to protect themselves against losses on sovereign debt, 75 percent of top EU banks still believe growth prospects for Supply Chain Finance (SCF) to remain “strong” or “very strong.”Source |
| Respondents anticipate annual SCF growth rates between 10 percent and 30 percent per annum in mature markets, and 20-25 percent in emerging markets where the need for financing is particularly pressing to help cope with rapid expansion. (Europe)Source |
| Over 80% of top European banks are putting major marketing efforts behind their SCF offerings, with some finding that when SCF programmes are implemented with clients, this also opens the door to a raft of other financial products which the bank can provide.Source |
| Over 90% of the bankers responding to this survey had a very positive view on SCF growth, estimating strength of this growth, compared with the bank’s full product range, at between 7 and 8 on a scale of 10.Source |
| The US was ranked the most innovative at 30%, followed by Japan at 25% and China at 14% right now. However, when asked which country will be the most innovative by 2020, China took the least with 27% of survey respondents expecting the country to overtake the US as the most innovative economy. India was ranked second at 17%, followed by the US at 14% and Japan coming in at 12%.Source |
| China and India as well as other emerging markets are expected to raise their position in overall economic innovation with a distinct shift towards the R&D skillsets more commonly associated with Europe, Japan and the US. Survey results from a study by AstraZeneca from December 2010 of 6000 participants across six countries, China is expected to become the global leader of innovation over the next decade, followed by India, overtaking the United States and Japan.Source |
| The survey found that 45% of the respondents have supply‐management organizations physically located in emerging markets. Of those companies with supply‐management organizations in emerging markets, 100% had organizations physically located in Brazil, China, Eastern Europe, or India. 80% of the respondents had supply‐management organizations each in Mexico, the Middle East/Turkey, or Russia and 20% had supply‐management organizations in other regions, which include Africa or Southeast Asia.Source |
| The survey found that of companies with supply‐management organizations physically located in emerging markets, 100% had supply‐management full‐time equivalents (FTEs) onlocation in Brazil, China, Eastern Europe, and India, 80% in Asia (excluding China), Mexico, the Middle East, and Russia and 20% had FTEs in Africa.Source |
| The survey also examined the change in level of responsibility given to supply‐management leadership in select emerging markets to source and procure goods and services locally or regionally during the past year. The survey ranked the level of change on a scale of 1 to 7, where 1 represented no change, and 7 represented significant change. The overall average level of change was moderate, ranging from a value of 3.20 in India to a value of 4.80 in China. The results were as follows: Asia (less China), 3.80; Brazil, 3.80; China, 4.80; Eastern Europe, 3.6; India, 3.20; Mexico, 3.25; Middle East/Turkey, 3.20; and Russia, 4.00.Source |
| Also examined was the expected growth in supply‐management in emerging markets over the next three years. According to the survey, 80% plan to increase their emerging markets‐based supply‐management organisations during the next three years, however 60% anticipate this growth being 10% or less. And the remaining 40% are split equally between 11 to 20% and 21 to 30% anticipated growth.Source |
| The economic impact of the flooding is expected to be sizeable, added Orgill, given that all economic sectors, ranging from agriculture to industry to services, have been affected. Acknowledging that the situation is in a constant state of flux, IHS Global Insight’s initial estimate is that the economy’s 2011 growth rate will probably be reduced to around 2.5 percent compared with the 3.7 percent anticipated in September. (Thailand)Source |
| A special report by IHS Global Insight into the impact of the flooding in Thailand comes as analysts have revised their forecast for Thai economic growth this year down to around 2.5 percent from 3.7 percent estimated in September.Source |
| Surprisingly, despite the risk of fines/penalties roughly 20 percent of respondents export without screening for restricted/denied parties and embargoed countries.Source |
| The majority of survey respondents export from North America, Europe and Asia Pacific. Almost 40 percent export from South/Central America and the Caribbean, and just 33 percent export from the Middle East and Africa.Source |
| Seventy-three percent of respondents continue to manage trade compliance centrally from the United States (U.S.) and only 27 percent manage trade compliance within each region. This was the same as 2010.Source |
| Seventy-three percent of respondents stated they still had completely manual or semi-automated processes for preparing export documentation.Source |
| Procurement Study: 80 Percent of Companies Vulnerable to Major Supply DisruptionSource |
| The survey revealed that 19 percent of high-tech company respondents plan to source supplies and raw materials from North America in the next three to five years.Source |
| Forty-two percent of respondents reported they currently source supplies and raw materials from mature APAC countries, including Thailand, Malaysia, Hong Kong and Singapore. When looking ahead to the next three to five years, this figure jumps to 55 percent.Source |
| Similarly, 16 percent of companies now source from emerging countries such as the Philippines and Vietnam, while 24 percent plan to source supplies from these countries in the future.Source |
| The study, which takes in the top 40 banks, suggests a more cautious outlook than last year, but highlights the enduring appeal of supply chain finance as companies deal with low growth and the Eurozone debt issues. Respondents anticipate annual SCF growth rates between ten per cent and 30 per cent per annum in mature markets, and 20-25 per cent in emerging markets where the need for financing is particularly pressing to help cope with rapid expansion. Source |
| “We asked UK businesses about their investment intentions in the year ahead and found that almost half (46%) of UK businesses plan to invest at least five per cent of their annual turnover in (innovative) growth strategies such as R&D programmes in the next twelve months,” Fyfe continued.Source |
| (When organizations suffer supply chain disruptions) Further down the list were such consequences as "stakeholder/shareholder concerns" at 19% and "delayed cash flows" at 18%. Curiously, when looking at these top consequences, what stands out the most is that the direct financial impact of supply chain loss appears to came in second to more indirect impacts on cost.Source |
| When organizations suffer supply chain disruptions, they face a number of consequences as a result. BCI found that the leading result of supply disruptions is "organizational loss of productivity," with 49% of respondents suggesting they were less productive as a result (e.g., by having to shut down a line). "Increased cost of working" came in second at 38% (for perhaps similar reasons to the top response) and "loss of revenue" was tied with "customer complaints received" and "service outcomes impaired" for third with 32% of respondents saying they faced these consequences from disruptions.Source |
| The average (supply chain network) planning horizon is 4.6 years, with a range of 2 to 15 years.Source |
| More than two-thirds (68%) of respondents use some form of automated tool to perform (distribution) network analysis.Source |
| More than half (53%) of the respondents use external resources when performing a (supply chain) network study.Source |
| In the year 2010 the global volume of goods traded amounted to 15,238 bn USD. The increase over 2009 was round 21%. For long years, Germany has been the largest exporter, but has been surpassed by China and is now the third largest exporting country.Source |
| “32 percent of manufacturers have no strategy for global engagement, 25 percent have no strategy for sustainability, and 15 percent have no strategy for human-capital management.”Source |
| Manufacturers across the country identify superior process improvement (86 percent of manufacturers rated it “highly important” or “important”) and customer-focused innovation (85 percent) as the most important NGM strategies to their firms’ success over the next five years.Source |
| The perceived importance of sustainability increased by 24 percentage points since the 2009 NGM Study. The perceived importance of supply-chain management and global engagement also increased.Source |
| For example, 72 percent of manufacturers believe supply-chain management is important or highly important, but only 29 percent of manufacturers are near or at world-class status in supply-chain management. The execution gap represents a substantial barrier to long-term success for U.S. manufacturing.Source |
| Beside cost considerations, the Japanese high-tech companies selected security risk as the second most important driver of change in their supply chain, with twenty percent (20%) of the respondents choosing it as the top driver, and over 60% considering it as a top three issue. This is higher than the rest of the region where only 6.9% chose it as the top driver, and 31.5% with the second and third combined, due to the recent natural disasters.Source |
| The survey unveiled that the Japanese companies interviewed, expect to reduce their domestic supply sourcing by close to half, from 96% to 53% in the next three to five years, while increasing sourcing from Mature Asia Pacific Countries (Thailand, Malaysia, Hong Kong, and Singapore) almost threefold, from 9% to 24%. The same trend was observed in the region, especially amongst emerging APAC countries such as Philippines and Vietnam.Source |
| Asian high-tech companies in the survey identified cost management as a key concern in the supply chain. Almost half the high-tech companies in Asia selected "Reducing total supply chain costs" as the top supply chain priority in the past two years.Source |
| Twenty-one percent or 32 risk managers said their business had suffered a material breach in their supply chain over the past two years. The Japanese earthquake and tsunami in March 2011 were the principal causes, followed by the eruption of the Iceland volcano Eyjafjallajökull in 2010, which caused widespread air transport disruption. Only 13 responses of the 153 cited political upheaval as a source of business disruption.Source |
| Commercial insurance buyers generally want better insurance products to cover their supply chain risks, a simple survey by FERMA has confirmed. Only 14 percent of the risk managers who responded to the online poll on supply chain risks felt that existing coverage and capacity were adequate, and just half said they insured against contingent or non-damage business interruption.Source |
| The risk managers also expressed concern over suppliers' sources, with 35% saying they are very concerned about those upstream supply chain exposures and 48% saying they are somewhat concerned.Source |
| Only 14% of those participating in an online survey conducted by the Brussels-based Federation of European Risk Management Assns. indicated they feel existing supply chain coverage and capacity are adequate.Source |
| Of the 153 commercial insurance buyers responding to the survey, 21% said their organization had experienced a material supply chain breach in the past two years, 52% said they are very concerned about the continuity of supply from direct suppliers and 36% said they are somewhat concerned.Source |
| According to the CDP's 2011 Supply Chain Report, 80 percent of suppliers now report on Scopes 1 and 2 emissions. However, Scope 3 emissions still remain a challenge for most companies due to the lack of a reporting standard and the amount of resources required to collect and aggregate the data. Currently, only a third of suppliers in the CDP Supply Chain program engage with their own suppliers.Source |
| With expansion come calls for an improved region- wide trade climate. Business leaders cite corruption and regulatory inconsistencies as barriers to growth in Asia Pacific. In a recent PwC survey, 64% of APEC CEOs said that realizing a free trade area in the Asia Pacific region is “critical” to their organization’s success.Source |
| Asia-Pacific economies are not only growing. They are growing more integrated. Exports among APEC economies are forecast to make up 71% of global APEC exports in 2020, up from 67% in 2010.4Source |
| Annual money-supply growth, or M3, slowed to 1.6% in December from 2% in November, well below the European Central Bank‘s 4.5% target rate. Private-sector lending was at its weakest since July 2010, suggesting more economic softness ahead.Source |