RedPrairie Industry Report

The 21st Century Retail Supply Chain

Three key imperatives for retailers - a report by Aberdeen Group.

Findings from Aberdeen’s March 2009 study on Integrated Demand-Supply Neteworks revealed that today’s supply chains – which have evolved into complex multi-tiered demand-supply networks – require a new paradigm of thinking about supply chain processes and solutions. Today, companies outsource their supply chain processes and sub-sets of them, such as outsourcing various stages of manufacturing to outsourced manufacturers. The retail industry has been extremely influential in this movement towards outsourced manufacturing and supplier relationships exemplified by Wal-Mart becoming the world’s largest company. Though retailers have been scrambling to outsource their manufacturing and meet the demands of an expanding multi-channel supply chain. In fact, 53% of companies indicate that it was only in the last five years that they even started having supply chain initiatives.

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