Supply Chain Analytics becoming more and more important

Oct 3, 2011

Capgemini Consulting, Penn State University, Heidrick & Struggles and global logistics provider, Panalpina, today announced the findings of the 16th Annual Third-Party Logistics (3PL) Study, examining the global market for outsourced logistics. The report reveals that already 51% of 3PLs provide supply chain consultancy services. However, only 11% of companies are getting supply chain consultancy services from 3PLs. The full report as well as the joint media release with the key findings can be downloaded from

Third-party logistics providers, or 3PLs, such as Panalpina are increasingly applying Supply Chain Analytics methodologies. Sophisticated assessment tools and benchmarking applications are used to compare individual supply chain performance to a wider set of industry peers. The objective is to provide customers with value-added services and strategic guidance in regards to supply chain design and execution.

Identifying inefficiencies in supply chains

Supply Chain Analytics assesses supply chain performance and identifies inefficiencies in supply chain configurations with the ultimate objective of improving their end-to-end performance in terms of operational, financial as well as managerial aspects. “Supply Chain Analytics can be regarded as the creation of ‘virtual images’ of supply chain structures in order to describe the performance or state of an existing supply chain,” explains Peter Karel, Corporate Supply Chain Analytics, Panalpina. “It is all about «cutting out» process waste and reducing costs.”

Managing total cost

Companies throughout the world need to become more flexible and efficient in their supply chains. The integration of total cost management in supply chains is becoming increasingly important on their agenda. They need to consider market volatility and the impact on indirect supply chain cost of obsolescence of stock, cost of capital, damage and loss, lost sales etc. Companies face the challenge of not only outsourcing the execution of logistics and transportation services to 3PLs but also getting strategic consultancy on their supply chain strategy in order to focus on their core competencies.

About Panalpina

The Panalpina Group is one of the world's leading providers of supply chain solutions. The company combines its core products of Air Freight, Ocean Freight, and Logistics to deliver globally integrated, tailor-made end-to-end solutions. Drawing on in-depth industry know-how and customized IT systems, Panalpina manages the needs of its customers' supply chains, no matter how demanding they might be. Energy Solutions is a specialized service for the energy and capital projects sector. The Panalpina Group operates a global network with some 500 offices in more than 75 countries, and it works with partner companies in a further 90 countries. Panalpina employs 15,000 people worldwide who deliver a comprehensive service to the highest quality standards – wherever and whenever.