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Rethinking supply chains in the Asia-
Pacifi c region for global growth
Many companies expanded their footprint and product
portfolios during Asia’s years of hypergrowth and are now
left with unwieldy supply chains that don’t provide a com-
petitive edge for serving changing customer needs.
There’s a good reason why the overstretched supply to improve and what they see as the obstacles getting
chains in the Asia-Pacifi c region are keeping executives in their way. Our research helped us obtain a clear
around the world up at night: These supply chains picture of multinational and domestic companies’ supply
won’t help companies support the next wave of global chain performance throughout the region. The bottom
growth in a vastly different cost environment. line: Executives know that their supply chains must
meet higher requirements. They know where they fall
Whether they are part of a global or regional operation, short and what the priorities are for improvement.
many of these supply chains were designed for a low- But for many, the challenge is determining how to
cost model that has eroded and for a time when fewer get started.
new products were introduced at a much slower pace.
These supply chains also came into being when tech- We interviewed 66 senior supply chain executives across
nology options for helping companies with forecasting a broad range of industries. Fully 70% said their supply
and demand planning were less robust than they are chain is now a top management priority, but only half
today. For these reasons, many supply chains in the re- believe their organization is ready to address the many
gion are holdin
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