Making Sense of Logistics
China tops list of problematic countries for supply chain operators

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China tops list of problematic countries for supply chain operators

Thursday, 27/11/2008 11:52
China has been found to be the region which represents the most risk to global supply chains, it has been reported.

Of the fifteen possible risks common to a supply chain, a survey by AMR Research found that companies suggested China was the top offender for nine, including intellectual property infringement and internal product quality failures.

For many companies the risk is worth taking as China has a vast supply of cheap labour, but added to other potential problems of international supply chains such as fluctuating oil prices and environmental pressures the problem creates a viable reason to begin looking elsewhere.

The US comes second in the research, with five problems associated with the States such as energy and commodity price increases and volatility, and lower consumer spending.

"India was the top contributing region when it came to immature logistics infrastructure," the AMR Research report said.

Certainly, a supply chain management team can help most companies make sense of the various issues facing the supply chain management world at present.

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