Manufacturing Industry

"The system is down" seen as greatest threat to supply chain.

Manufacturing Business Technology, February, 2007

By Staff Media reports often cite catastrophic events like hurricanes and acts of terrorism as major threats to supply chain operations. But a recent survey by Dedham, Mass.-based ARC Advisory Group found nearly 30 percent of supply chain managers see IT system breakdowns as the most likely cause of a supply chain disruption.

That number reflects the extent to which modern supply chains depend on information--rather than inventory--to service customers, says Steve Banker, an analyst with ARC. "Often there is little inventory to serve as a buffer when interruptions occur," Banker explains. "Any disruption can have a rapid impact across a supply network." i2 Technologies claims its new generation of software solutions offers a "playbook"...

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