In a recent AMR Research study, 53% of 160 global trade professionals surveyed claimed that they would be increasing their investment on global trade management (GTM) software in 2010. Some of the main reasons cited in the study for the increase include: to improve coordination of GTM functions internally; to meet government mandates; to meet security requirements; to protect the brand; and to control various costs.
As companies become more global, increasing and expanding operations all over the world, it becomes very difficult to manually manage supply chain processes. Especially when employees are spread out across multiple locations. GTM technologies allow users to seamlessly communicate with trading partners, manage suppliers, optimize global transportation, ensure trade compliance, automate key aspects of trade finance, and develop timely resolutions of operational issues.
To be more specific, a supply chain visibility solution can provide shippers with near-real time visibility to the status of orders, shipments and in-transit inventory to optimize their network. Without a system in place, companies may be handcuffed with longer lead times, higher inventory levels, budget overruns, and continued supply-demand imbalances. Furthermore, with regulations such as the Importer Security Filing (aka 10+2), it is more important than ever to have more visibility and control over what happens at origin. (And speaking of ISF, check out how Bunzl Distribution integrated a supply chain visibility solution with a trade import solution to establish a transparent and compliant import supply chain.)
The bottom line is that we are moving into an era where manual supply chain processes are becoming inept for companies who import or export. To learn more about how different types of GTM technologies can benefit your organization, please download one of Management Dynamics' GTM Success eKits.