An assessment of information flow as an enabler to collaboration in the supply chain within a South African context

Abstract

Organisations need to know more in order to do more for customers. As demand for customer information grows, so to, do the archives in the back office and the servers at the central hub. It is estimated that the amount of data now captured and stored nearly doubles every 12-18 months.(Information Week) The logistics industry is plagued by the very element of changing customer demands, customization thus resulting in the survival of the fittest. The informed customer demands an integrated product offering customised to their needs. This industry has evolved to one where companies need deep pockets to ensure an IT platform capable of meeting the increasing demands of the modern supply chain. The objective of the report is to gain further insight and understanding of how stakeholders within South Africa assess the flow of information as an enabler to greater collaboration within the supply chain. Information flow is one of the many elements that contribute toward greater collaboration, which is a recent trend in supply chain management that focuses on joint planning, coordination and process integration between stakeholders in the supply chain (Spekman et al 1998). Globalisation and the advent of e-commerce Business 2 Business transactions and the Lean production philosophies that are being adopted by more and more industries is demanding real time, data exchange and information flow in order to make the necessary and timely decisions which are required to meet ever changing customer demands. Information is only one of the areas in which tremendous benefit can be derived, this paper considers a thorough literature review of aspects surrounding information flow from a global perspective and assesses the feedback of South African organisations in relation to this theme with the view to providing readers with greater insight to possible opportunities that may exist for improvement in their respective supply chain.