Frost & Sullivan 2016 Best Practices Award

Industry Challenges
Companies in the North American public sector and defense industry are seeking to improve their customer service, working capital and cash flow, operational efficiency, profitability, and market share.

Along with this, companies report to Frost & Sullivan how they are also focusing on reducing inventory levels, eliminating supply chain disruptions, and reducing Information Technology (IT) costs, with a view to transform and accelerate their business operations amid changing market demands and rising competition.

In addition, the Department of Defense (DoD) - as well as several other public sector and defense service branches - are taking critical operational decisions in traditional silos, resulting in the build-up of oversized inventories, extremely long lead times, limited service levels, and cost inefficiencies.

The lack of a seamless operation among many of the service arms and agencies tends to directly affect optimal financial performance; Frost & Sullivan notes that it also hinders the ability to identify growth opportunities and reduce incurred costs.

As such, the prevailing challenge is to be able to work seamlessly.

It is essential to outweigh traditional supply chain solution providers that follow a single enterprise process approach and offer only single enterprise architecture.

Frost & Sullivan firmly believes that the vendor that can effectively address these prevalent challenges with a multi-enterprise and multi-echelon solution will secure a leadership position in the North American supply chain management market.