The Boston Consulting Group: The Coming Infrastructure Crisis – Is Your Supply Chain Ready?




At a Glance:

It’s just a matter of time until our ports, roads, rails, and airports are unable to keep up with the ever-increasing demands we place on them. And as growing congestion impedes the flow of goods, our supply chains will become less reliable and less able to deliver on time and at the expected cost.

The Impact on Supply Chains and Profitability

The bottom line is that logistics costs will increase significantly – and companies must rethink and redesign their supply chains or become victims.

Taking a Strategic Approach

Without an effective strategy for the coming crisis, either a company’s supply chain will be overwhelmed by infrastructure constraints or its performance will be undifferentiated from that of the competition.

What Companies Can Do

Four strategies for improving supply chain performance – boosting process efficiency, improving information flows, reducing variability, and compressing transit times – can lower costs, increase response times, and dramatically improve profitability.