11th Annual Supply Chain Management Software Users Survey: Caution remains

Logistics professionals appear to be enthused by the gradual economic recovery and see the need for improved visibility to better meet new supply chain demands, but they’re still not ready to make the big investments necessary to fully realize those goals.
By Bridget McCrea, Contributing Editor
June 01, 2013 - LM Editorial

Logistics Management’s (LM) 10th Annual Software Usage Study reveals that shippers are taking a “cautiously optimistic” approach to their supply chain software purchases and upgrades. The survey’s findings neatly align with the overall business environment, where companies appear to be enthused by the gradual economic recovery, but are not quite ready to make any huge investments in people, equipment, or information technology.

Over the next few pages, we’ll delve into the results of our 2013 study to see where software budgets are being allocated and learn what challenges shippers—of all sizes and across all industries—plan to meet through the continued application of supply chain management software.

Putting it all on the table
This year’s numbers are more optimistic than those tallied in 2012 and 2011. When asked how the current economic climate changed their companies’ approach to supply chain management software spending, 31 percent of respondents said that they were scrutinizing their software purchases in 2012, down from 33 percent in 2011. Twenty-one percent said they were freezing investments (up from 18 percent in 2011), while 21 percent said that they would be making investments in new software over the following 12 months. Another 21 percent planned to upgrade existing systems, compared to 22 percent in 2011.



About the Author

image
Bridget McCrea
Contributing Editor

Bridget McCrea is a Contributing Editor for Logistics Management based in Clearwater, Fla. She has covered the transportation and supply chain space since 1996, and has covered all aspects of the industry for Logistics Management and Supply Chain Management Review. She can be reached at .(JavaScript must be enabled to view this email address).


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!

Recent Entries

Many companies are turning to Global Trade Management (GTM) as a viable solution to address the complexities associated with international trade. But how do you successfully build a business case for GTM software?

Various media outlets reported this week that UPS will pay $25 million to settle allegations that it filed false claims to the federal government over guarantees it made related to delivery of Next Day air overnight packages.

While the dust continues to settle at West Coast ports after a nine-month labor dispute that saw the two main parties involved–the Pacific Maritime Association (PMA) and the International Longshore & Warehouse Union–reach a tentative labor agreement on February 22, the PMA said yesterday that its members voted to ratify a new contract with the ILWU.

The United States House of Representatives yesterday passed legislation, entitled H.R. 2353, the Highway and Transportation Funding Act of 2015, by a 387-35 margin that extends current law and authorizes surface transportation programs through the end of July.

As the supply chains of high-tech shippers continue to mature and innovate, coupled with rapid growth, it is not a huge surprise to see them further leverage current strategies and lay the groundwork for newer ones, when it comes to further expanding their manufacturing supply chain capabilities. That was a key theme in the fifth Annual UPS Change in the (Supply) Chain (CITC) survey that was rolled out today.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA