Posted: Wednesday, September 30, 2009, 9:27AM
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"Global Sourcing"
Global supply chains face 'major risks' in 2010
Global supply chains will continue to face "major risks" in 2010 and beyond, new research warned today.According to AMR Research's latest quarterly risk report, 44 per cent of US respondents believe the recovery cycle is the biggest risk in 2010 because of potential commodity price increases and limited internal skills after workforce reductions. Other fears cited include problems meeting new demand with constrained capacity, low inventory, and transportation constraints. Almost a quarter of respondents are worried that the recession will continue, resulting in weak customer demand.
"Even as the economy begins to recover, the impact of the recession on manufacturers and retailers will be long-lasting," said Noha Tohamy, vice president of research at AMR Research and author of the report.
"Global supply chains will continue to face major risks in 2010 and beyond. As such, designing a supply chain risk management strategy is still crucial."
Respondents from the quarterly survey of U.S.-based manufacturers and retailers identified the top supply chain risks, where and why they source and manufacture, and how they mitigate risks.
Procurement Tag - Global Sourcing
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