APICS CEO Abe Eshkenazi CSCP, CPA, CAE -
August 26, 2011
Monday, the Washington Post featured an article on India's thriving manufacturing economy being hindered by the country's poor logistics infrastructure. To illustrate the challenges, the article's author Rama Lakshmi notes that trucks move an average speed of 19 miles an hour on roads rife with potholes and without clear lanes, different Indian states use different tax systems, and the average turnaround time in ports is 84 hours__compared to 7 hours in Hong Kong and Singapore.
"If urgent steps are not taken, experts say, the cost of waste and delays will increase from $45 billion annually to $140 billion by 2020," Lakshmi writes. "Global companies such as Ford and Siemens are spending billions to turn India into a China-like manufacturing hub, but the poor state of logistics causes expensive bottlenecks that may lead them to look elsewhere."
Right now, Lakshmi writes, "most companies still send goods to dank, poorly ventilated warehouses where cartons are piled on the floor."
The article doesn't ignore supply chain management. K.V. Mahidhar is the head of logistics at the Confederation of Indian Industry. He says that to meet the estimated business growth in the next five years, logistics and supply chain infrastructure have to grow two and one-half times.
APICS education available around the world
Following is the first sentence explaining supply chain as it appears in the APICS Operations Management Body of Knowledge (OMBOK) Framework: "The current ideology behind the supply chain is to apply a total systems approach to designing and managing the entire flow of information, materials, and services__from raw materials suppliers, through factories and warehouses, and finally to the customer."
At APICS, we recognize the need and opportunity for supply chain products and services in countries around the world, including India. Think about the importance of supply chain knowledge, especially in economies trying to harness the power of manufacturing. Now consider the following strategic priorities for APICS over the next three years. These priorities were approved by the APICS Board of Directors at its July 2011 meeting:
- Affiliation with APICS, as the most respected, global operations and supply chain management organization, supports individuals and organizations to achieve and build effectiveness and sustainable growth.
- APICS is regarded as the definitive source for thought leadership, and as the global standard for operations and supply chain management.
- APICS certifications are globally recognized and valued credentials in operations and supply chain management.
The Washington Post article on India illustrates why these priorities are appropriate and important. You will notice a common theme across them__to extend the reach and recognition of APICS by ensuring APICS products and services are globally recognized as well as locally relevant. We will work to ensure that APICS is synonymous with the most relevant, current, and practical knowledge in the field. With your APICS affiliation, you demonstrate your commitment to these ideals.
In other news
How APICS Operations Management Now relates to you
Operations management is everywhere. Today, operations management professionals have unprecedented impacts on the global economy. Consider these questions and how today's edition of APICS Operations Management Now relates to you and your career.
How does a nation's internal infrastructure impact your organization? What steps has your organization taken to alleviate potential problems?
Would you describe the supply chain you work with as well designed? Ad hoc?
What are the most important aspects to designing a supply chain with the goal of sustainable growth?