Supply chain holding up new products

MOST ENGINEERS and designers believe resistance from procurement staff to the adoption of e-business initiatives is holding back new product introduction according to a recent survey commissioned by IBM. The survey revealed that 70% of 150 European manufacturing executives questioned are not satisfied with their procurement operation’s commitment to using new technology to enrich the […]

MOST ENGINEERS and designers believe resistance from procurement staff to the adoption of e-business initiatives is holding back new product introduction according to a recent survey commissioned by IBM.

The survey revealed that 70% of 150 European manufacturing executives questioned are not satisfied with their procurement operation’s commitment to using new technology to enrich the NPI process. Only one in five executives rate procurement and supply chain managers as adaptable to change.

The report also calls for designers to improve their commercial skills, enabling them to work more effectively with procurement teams.

This is particularly true in aerospace, which the report claims is lagging well behind the automotive industry in adopting technology to make NPI quicker and more cost-effective.

IBM says the research shows manufacturers need to cut NPI costs by a third and design time by half if they are to remain competitive in an increasingly globalised marketplace.

www.ibm.com/uk

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