2015 Supply Chain Trends

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JABIL SPONSORED A SURVEY OF ELECTRONICS MANUFACTURERS and asked questions on a variety of topics related to their supply chain including VISIBILITY, FACTORY-OF-THE-FUTURE TECHNOLOGY, INTERNET OF THINGS and more. SUPPLY CHAIN 2015 FACTORY OF THE FUTURE TECHNOLOGIES VALUABLE TO BUSINESS: 54 % 53 % 52 % 48 % 46 % 38 % 37 % 36 % Advanced materials technology Predictive supply chain analytics Increased manufacturing automation Modular assembly Rapid prototyping Robotics Virtual reality design and prototyping 3D printing WOULD YOU LAUNCH NEW OR UPGRADED PRODUCTS MORE FREQUENTLY IF: 80 % YES 20 % NO your company’s manufacturing processes supported faster delivery? 78 % YES 22 % NO your company’s manufacturing processes supported more cost effective delivery? OF THE FUTURE WHAT OBSTACLES DO YOU FACE WITH YOUR EXISTING MANUFACTURING PROCESSES? 58 % difficult to change existing processes 54 % expensive to make changes in production 45 % manual processes are too slow or error prone 35 % cost of labor is driving up costs 29 % does not cope well with complex product designs 26 % no flexibility to integrate new product components 57 % HAS YOUR COMPANY EVER PASSED ON A PRODUCT IDEA BECAUSE EXISTING MANUFACTURING PROCESSES WERE INSUFFICIENT? said YES SUPPLY CHAIN DO YOU FACE CHALLENGES WITH VISIBILITY INTO THE STATUS OF YOUR END-TO-END SUPPLY CHAIN? 89 % YES 58 % difficult to track and report on vendor services levels must maintain excess inventory to mitigate risk 61 % BIGGEST VISIBILITY CHALLENGES 70 % DOES LACK OF VISIBILITY INTRODUCE RISK IN ANY AREAS OF YOUR SUPPLY CHAIN? YES 96 % AREAS WITH MOST RISK: long lead times extra shipping time difficult to manage capacity hard to change location hard to manage part quality 58 % 53 % 42 % 25 % 47 % HOW MUCH OF YOUR SUPPLY CHAIN CAN BE TRACKED WITH REAL-TIME STATUS UPDATES? HAVE REAL-TIME STATUS UPDATES for LESS THAN HALF of their supply chain dashboard with end-to-end visibility real time problem alerts excess inventory or shortage reports risk assessment reporting WHICH CAPABILITIES FOR INCREASING VISIBILITY AND MANAGEMENT OF YOUR SUPPLY CHAIN DO YOU FIND VALUABLE? HAS YOUR COMPANY EVER ABANDONED A PRODUCT IDEA BECAUSE OF THE PRICE OR COMPLEXITY OF PROCURING COMPONENTS? 51 % YES 49 % NO WHAT BENEFITS COULD YOU GAIN IF YOUR SUPPLY CHAIN PARTNERS AND VENDORS HELPED YOU WITH COMPONENT PROCUREMENT? 67 % 58 % 55 % 49 % 42 % better integration of procurement and inventory management expertise in materials marketplace diminished component cost through volume purchasing streamlined negotiation and contracts processing independent, timely review of suppliers and components HOW VALUABLE WOULD IT BE TO WORK WITH A MANUFACTURING PARTNER THAT PROVIDES SOLUTIONS FROM IDEA TO DISTRIBUTION? 93 % find it very or somewhat valuable IN THE CASE OF AN EXTREME GLOBAL WEATHER EVENT HOW LONG WOULD IT TAKE YOU TO FULLY UNDERSTAND THE IMPACT ON YOUR SUPPLY CHAIN? would take a few days! 55 % would take a few weeks! 27 % 50 % 47 % 46 % 44 % 40 % 40 % 37 % 33 % SKILLS NEED TO ACQUIRE OR HAVE ACQUIRED TO DELIVER “THINGS” SOLUTIONS: analytics user experience and usability device software cloud technologies for connecting and storing information sensors inter-device communications big data security INTERNET OF THINGS WHAT IS THE STATUS OF YOUR COMPANY’S PRODUCTS FOR THE INTERNET OF THINGS (IOT)? 30 % are in production 25 % 23 % have no plan are in development 22 % are planing to develop WHAT POTENTIAL VALUE DO YOU SEE IN USING DATA CONNECTED BY “THINGS” TO DRIVE PRODUCT INNOVATION? 57 % 55 % 53 % 47 % 31 % deliver additional product capabilities creating new products, services or business models understand failure to increase quality measure feature usage to impact user design changing packaging based on sales metrics DO YOU HAVE IN-HOUSE EXPERTISE TODAY TO HELP YOU FULLY DELIVER IOT SOLUTIONS? 38 % lack key areas 23 % lack all areas 39 % lack most, but not all areas 77 % are lacking! Jabil offers a diverse range of solutions that enable customers to move with speed and certainty in a world of constant change. Our best-in-class engineers enable customers to use technologies like embedded cameras, sensors, energy harvesting and complex device integration to lead their markets with next generation product advancements. Decades of cutting-edge expertise in capabilities like advanced automation, additive manufacturing, active alignment and numerous process innovation techniques bring the Factory of the Future to customers today. And our intelligent digital supply chain solutions, including Jabil InControl, provide unparalleled tools and techniques to increase visibility into supply chain risks and opportunities to further customers’ success. Visit Jabil.com Survey conducted by Dimensional Research, www.dimensionalresearch.com.

Transcript of 2015 Supply Chain Trends

Page 1: 2015 Supply Chain Trends

JABIL SPONSORED A SURVEY OFELECTRONICS MANUFACTURERS and asked

questions on a variety of topics related to their supply chainincluding VISIBILITY, FACTORY-OF-THE-FUTURETECHNOLOGY, INTERNET OF THINGS and more.

SUPPLY CHAIN2015

FACTORY OF THE FUTURE TECHNOLOGIESVALUABLE TO BUSINESS:

54%

53%

52%

48%

46%

38%

37%

36%

Advanced materials technology

Predictive supply chain analytics

Increased manufacturing automation

Modular assembly

Rapid prototyping

Robotics

Virtual reality design and prototyping

3D printing

WOULD YOU LAUNCH NEW OR UPGRADEDPRODUCTS MORE FREQUENTLY IF:

80%YES

20% NO

your company’s manufacturingprocesses supportedfaster delivery?

78%YES

22% NO

your company’s manufacturingprocesses supported morecost effective delivery?

OF THE FUTURE

WHAT OBSTACLES DO YOU FACE WITH YOUR EXISTINGMANUFACTURING PROCESSES?

58%

difficult tochange existing

processes

54%

expensive tomake changesin production

45%

manualprocesses are

too slow or error prone

35%

cost of labor isdriving up costs

29%

does not copewell with complex

product designs

26%

no flexibility tointegrate new

product components

57%HAS YOUR COMPANY EVER PASSEDON A PRODUCT IDEA BECAUSEEXISTING MANUFACTURINGPROCESSES WERE INSUFFICIENT?

said YES

SUPPLY CHAIN

DO YOU FACE CHALLENGESWITH VISIBILITY INTO THE

STATUS OF YOUR END-TO-ENDSUPPLY CHAIN?

89%YES

58% difficult to track and reporton vendor services levels

must maintain excessinventory to mitigate risk61%

BIGGEST VISIBILITYCHALLENGES

70%

DOES LACK OF VISIBILITYINTRODUCE RISK IN ANY AREAS OF

YOUR SUPPLY CHAIN?

YES96%AREAS WITHMOST RISK:

long lead times

extra shipping time

difficult to manage capacity

hard to change location

hard to manage part quality

58%

53%

42%

25%

47%

HOW MUCH OF YOUR SUPPLYCHAIN CAN BE TRACKED

WITH REAL-TIMESTATUS UPDATES?

HAVE REAL-TIMESTATUS UPDATESfor LESS THANHALF of theirsupply chain

dashboard withend-to-end visibility

real timeproblem alerts

excess inventory orshortage reports

risk assessmentreporting

WHICH CAPABILITIES FOR INCREASINGVISIBILITY AND MANAGEMENT OF YOUR

SUPPLY CHAIN DO YOU FIND VALUABLE?

HAS YOUR COMPANYEVER ABANDONED A PRODUCTIDEA BECAUSE OF THE PRICE OR

COMPLEXITY OF PROCURINGCOMPONENTS?

51%YES

49%NO

WHAT BENEFITS COULDYOU GAIN IF YOUR SUPPLY

CHAIN PARTNERS ANDVENDORS HELPED YOU

WITH COMPONENTPROCUREMENT?

67%

58%

55%

49%

42%

better integration of procurementand inventory management

expertise in materials marketplace

diminished component cost throughvolume purchasing

streamlined negotiation andcontracts processing

independent, timely review ofsuppliers and components

HOW VALUABLE WOULD IT BE TOWORK WITH A MANUFACTURINGPARTNER THAT PROVIDESSOLUTIONS FROM IDEATO DISTRIBUTION?

93%

find it very or somewhat valuable

IN THE CASE OF AN EXTREME GLOBAL WEATHEREVENT HOW LONG WOULD IT TAKE YOU TO FULLY

UNDERSTAND THE IMPACT ON YOUR SUPPLY CHAIN?

would takea few days!

55%

would takea few weeks!

27%

50%

47%

46%

44%

40%

40%

37%

33%

SKILLS NEED TO ACQUIRE OR HAVE ACQUIREDTO DELIVER “THINGS” SOLUTIONS:

analytics

user experience and usability

device software

cloud technologies for connecting and storing information

sensors

inter-device communications

big data

security

INTERNET OF THINGS

WHAT IS THE STATUS OF YOURCOMPANY’S PRODUCTS FOR THE

INTERNET OF THINGS (IOT)?

30%are in production

25%

23%

have no plan

are in development

22%are planing to develop

WHAT POTENTIAL VALUE DO YOU SEE IN USING DATACONNECTED BY “THINGS” TO

DRIVE PRODUCT INNOVATION?

57% 55% 53% 47% 31%

deliveradditionalproductcapabilities

creatingnewproducts,servicesor businessmodels

understandfailure toincreasequality

measurefeatureusage toimpact userdesign

changingpackagingbased onsales metrics

DO YOU HAVE IN-HOUSE EXPERTISETODAY TO HELP YOU FULLYDELIVER IOT SOLUTIONS?

38% lack key areas

23% lack all areas

39% lack most, but not all areas

77%are lacking!

Jabil offers a diverse range of solutions that enable customers to move with speed and certainty in a worldof constant change. Our best-in-class engineers enable customers to use technologies like embeddedcameras, sensors, energy harvesting and complex device integration to lead their markets with nextgeneration product advancements. Decades of cutting-edge expertise in capabilities like advanced

automation, additive manufacturing, active alignment and numerous process innovation techniques bring the Factory of the Future to customers today. And our intelligent digital supply chain solutions, including Jabil InControl, provide unparalleled tools and techniques to increase visibility into supply chain risks and

opportunities to further customers’ success.

Visit Jabil.com

Survey conducted by Dimensional Research,www.dimensionalresearch.com.