How does direct spend fits into the Intelligent Enterprise? The changing business environment increases pressures on the supply chain and procurement functions.
Direct spend solutions help organizations solve their biggest problem such as inventory, supplier risk, and expansion into new markets. With a constantly changing environment, it is important to keep up with how the world is run.
- 25% of manufacturing, warehousing, logistics capacity is outsourced
- 55% of global GDP from emerging economies by 2022
- 80% of procurement leaders are expanding into new markets
There are many different environmental factors affecting the Intelligent Enterprise. Globalization and outsourcing have driven up risk in supply chain management.
Your company may be dealing with an increase in outsourcing to external entities or running into risk expanding into new markets. You may be wondering: How can I still have greener, more diverse suppliers? How can I keep track of where my materials are? With the geographical complexity it may seem difficult to track your product.
Outsourcing, globalizing, and finding new sources of supply drive many aspects of risk. This could be risk of losing visibility into the availability of supply, especially when relatively new, unknown suppliers from all over the world are your new suppliers.
You could be dealing with anything from merchandise to stock the shelves, and automotive and industrial components to keep the lines up and keep manufacturing going.
