Just 38% of respondents to an industry survey carried out by EY and the Consumer Goods Forum believe that the development of omni-channel strategies have a positive effect on profit margins.
The study, Re-engineering The Supply Chain For The Omni-Channel Of Tomorrow, welcomed views from 42 senior executives from the world’s largest consumer products and retail companies.
In addition, 81% of respondents said that they believed current supply chains are 'not fit for purpose' for the new omni-channel environment. Just under a quarter believe that they have a strategy to deal with the increasingly agile and responsive nature of omni-channel supply chains.
Commenting on the findings, Andrew Caveney, EY's global supply chain and operations leader, said, "Re-engineering the omni-channel supply chain must be a priority for consumer goods companies and retailers if they are going to remain relevant to both the consumer and their shareholders."
The study also found that leadership is key in the development of omni-channel strategies, with 37% of respondents citing the 'lack of leadership support' as a key barrier to success.
“It rests with leadership to create the impetus for change and cultural shifts. We advise companies to create teams that mix people with more ‘disruptive’ capabilities and those who are more aligned with the existing model," said Caveney.
© 2015 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones.
