Supply-Chain Security Is Net Plus For Manufacturers

The benefits of investing in supply-chain security measures "far outweigh" the costs, claims a Stanford University study released by the Manufacturing Institute, the research and education unit of the Washington, D.C.-based National Association of Manufacturers.

Companies able to quantify their benefits, reported, on average, a 48% decrease in customs inspections, a 29% reduction in transit times, a 38% reduction in theft, a 14% reduction in excess inventory, a 26% reduction in loss of customers and a 21% reduction in the time needed to identify supply-chain problems.

The companies -- 11 major manufacturers and three logistics providers that import into the U.S. -- also reported investments in supply-chain security increased automated handling of imports by 43%, improved on-time shipping to customers by 30% and improved asset visibility in the supply chain by 50%.

The report, "Innovators in Supply Chain Security: Better Security Drives Business Value," is available at

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