Supply chain management: more than cutting costs

By Staff -- Modern Materials Handling, 9/1/2000

What's the difference between a channel master and a run-of-the-mill competitor in a market that is rapidly turning to electronic commerce, exchanges, and marketplaces? Logistics, materials handling, and supply chain management.

That was the message coming out of enVISION2000, the conference for users of Manugistics' supply chain management and planning software systems.

"Supply chain management today isn't just about reducing costs in your operations, it's about revenue generation," said Greg Owens, CEO and president of Manugistics, a Rockville, Md. software provider.

"Supply chain and business-to-business solutions are key ingredients for companies that want to competitively differentiate themselves in today's market."

By the year 2004, Owens predicts that 90% of the enterprises that fail to apply supply chain technology and improve their processes will lose the supplier status.

Jeff Wilke, vice president and general manager of operations at Amazon.com reinforced that point. Amazon's mission, according to Wilke, is to become the number one destination to find, discover, or buy anything online.