Sustainability and customer service are key to supply chain success

One surprising finding in the UPS-sponsored "Change in the (Supply) Chain" survey was that sustainability ranked above well-known issues such as cost and responsiveness

By ·

One surprising finding in the UPS-sponsored “Change in the (Supply) Chain” survey was that sustainability ranked above well-known issues such as cost and responsiveness.

Sustainability-related findings indicate that companies in Asia are making an investment in corporate social responsibility. Survey results reveal that projecting a better corporate image is the top driver for companies to engage in sustainable practices. Interestingly, while sustainability is a growing priority in Asia, U.S. companies ranked it as their lowest priority in 2010 with only 19 percent of survey respondents identifying it as a top issue driving change.

While sustainability is the top supply chain driver of change, cost reduction is the No. 1 business priority for companies in Asia, especially as costs increase within the region. The majority (63 percent) of survey respondents identified cost reduction as the top business priority for the next 18 months.

Similar to findings from last year’s survey of U.S.-based high-tech companies, high-tech companies in Asia are investing in customer service despite cost concerns.

Achieving higher service levels is both the most frequent change made over the last two years (63 percent) and the change that most companies plan to make in the next two years (67 percent). In addition, 71 percent of companies ranked “better balance of cost and efficiencies with customer service” as a top supply chain priority over the next three to five years.


About the Author

Patrick Burnson, Executive Editor
Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at [email protected]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Article Topics

Global · Global Logistics · Logistics · All Topics
Latest Whitepaper
The View from the New “Single Window”
The single window, officially known as the "International Trade Data System," operates via the Customs and Border Protection (CBP) agency's Automated Commercial Environment (ACE) platform, and serves as a single point of contact for all trade filings.
Download Today!
From the March 2017 Issue
WMS vendors are stepping up to the plate and developing functionalities and solutions that meet the complex needs of today’s companies. Our top analysts take a peek into these developments and discuss the DC of the future and the software that will support it.
5 Supply Chain Trends Happening Now
2017 Warehouse/DC Equipment Survey: Investment up as service pressures rise
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
2017 Trucking Regulations & Infrastructure Update
In this session our panel brings shippers up to date on the state of transportation regulations. Discussion will revolve around regulatory reform, aspects of the federal highway bill and what the transportation landscape looks like in the early days of the Trump administration.
Register Today!
EDITORS' PICKS
LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...
ASEAN Logistics: Building Collectively
While most of the world withdraws inward, Southeast Asia is practicing effective cooperation between...

2017 Rate Outlook: Will the pieces fall into place?
Trade and transport analysts see a turnaround in last year’s negative market outlook, but as...
Logistics Management’s Top Logistics News Stories 2016
From mergers and acquisitions to regulation changes, Logistics Management has compiled the most...