Page 18 - IT_13.4

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LEADERS • UPS
HILE MANUFACTURERS
still recover from the 2009
economic downturn, the
industry optimistically forges
ahead in 2010. The latest
Institute for Supply Management’s
Report On Business
®
showed that activity
in the manufacturing sector expanded in
June for the 11th consecutive month.
One clear insight came out of the reces-
sion: Globalization is signif icantly
impacting manufacturers’ dependence on
international partners. According to a
June 2010 McKinsey Quarterly report, a
typical manufacturing company relies on
more than 35 different contract manufac-
turers around the world to provide the
necessary parts for its goods. So, from a
manufacturer’s perspective, when one
nation’s economy deteriorates, the entire
global supply chain is affected.
As manufacturers emerge from the
downturn, they must put considerable
W
By Matthew Hanna
Link To
Post-
Recession
Success
A FLEXIBLE SUPPLY CHAIN IS
CRUCIAL FOR MANUFACTURERS AS
THEY SURFACE FROM THE GLOBAL
DOWNTURN. THEY’LL RESPOND
MORE EFFECTIVELY TO ECONOMIC
AND/OR MARKET CHANGES AND,
IN TURN, INCREASE THEIR
COMPETITIVE ADVANTAGE.
18 INDUSTRY TODAY