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

When asked how the current economic climate is affecting their company’s approach to supply chain management software spending, 19 percent of respondents say that they plan to freeze software investment this year, while 20 percent plan to move forward with new purchases. About 38 percent say they’re “more carefully scrutinizing” software investments, and 13 percent plan to upgrade existing software in lieu of buying new software packages.

In our annual general snapshot of the different types of software that companies are currently using, half of shippers say warehouse management systems (WMS); only 34 percent are using transportation management systems (TMS); while 48 percent are leveraging enterprise resource planning (ERP) platforms. Also in use are supply chain planning (25 percent); inventory optimization (29 percent); demand planning (24 percent); and labor management systems (LMS) at 20 percent.

As we roll through 2013, 43 percent of companies tell us that their use of supply chain software has changed in the past two years. Only 5 percent say their usage has decreased, while a fairly healthy 23 percent tell us that they’re currently using more software packages than they were two years ago. Only 8 percent report using fewer packages, while 70 percent say the number of packages they’re using has remained constant.

About the Author

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).

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