New dimensions

The improvements in travel and communications and now Internet technology have introduced new dimensions. The world market has effectively been reduced to a single trading zone.

At the same time it has been opened up to organisations of every size. For supply chain management this new freedom of exchange raises challenges.

Global companies now have instant visibility of economic and political trends.
Virtual organisations are emerging that can expand and contract to fill a market need.
A single market that circumvents the traditional value chain now (theoretically) exists.
Virtual organisations can respond to fiscal pressures more readily than those with traditional investment programmes
Existing supply infrastructures are threatened by ready access to low cost competition.
The historical value chain of SMEs' creativity, which has underpinned existing economic models, is at risk.
The rapid deployment of E-commerce without legislative networks opens the way for 'Electronic Trading Havens': who are you really dealing with?
The emerging voice of 'Fair Trade' and 'Economic Responsibility' creates new considerations for corporate strategy.

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