According to Cleo’s fourth annual State of Ecosystem Integration Report, the top challenge business and technology leaders are grappling with in the wake of the pandemic is a persistent loss of control over their supply chains. And as avoidable losses mount, many are investing handsomely in supply chain integration technologies to get it back.
“More organizations are becoming aware of their integration operations, and this year marks the third consecutive year where the survey showed a growth in the number of companies reporting revenue losses. Business leaders desperately want a sense of control over supply chain operations and they’re budgeting significant IT investment dollars to get it,” says Tushar Patel, CMO of Cleo. “What they’re finding is that a strategic investment in integration technology and automation has a positive ripple effect across their entire ecosystem – improving relationships with partners, suppliers, and customers, as well as streamlining end-to-end business processes. The result is an efficient business positioned for revenue growth.”
“Regaining control begins with a purposeful shift in integration strategy; supply chain improvement begins with a fundamental focus on ecosystem integration technology,” Patel adds. “This year, more than ever, it will be important for organizations to embrace a new mindset, one that starts with integration control and ends with supply chain optimization.”
- With 99% of companies acknowledging they are losing money and missing out on business opportunities due to supply chain integration problems, more than a quarter of them (26%) admitted they are losing between $500,000-1,000,000 in revenue per year.
- Such continuing losses have motivated more than 80% of companies to allocate budget increases of 10% or more toward supply chain technology investment for the coming year.