Mobile device supply chains differentiate technology providers: DHL conference
July 2, 2013
Logistics is set to play a greater role in setting apart
companies in the technology sector, attendees at a recent technology conference in China heard.
About 250 technology experts recently met to discuss the technology market, at DHL’s company’s global technology conference in Shanghai.
Conference attendees reportedly shared views on the emergence of mobile devices ahead of PCs as the preferred access tool for the internet.
DHL estimates 60 percent of all IT hardware growth will come from tablets and smartphones this year.
“Both devices also elevate a trend towards high innovation cycles, which demands logistics providers to improve time to market while supporting competitive price positioning,” a DHL statement says.
The DHL statement says an overall trend towards simplified and lighter products, combined with price pressure, is challenging manufacturers, their suppliers, and competitors to develop collaborative solutions that improve the cost efficiency of the technology supply chain.
“This trend has seen an increase in the use of shared logistics platforms such as multi-user warehouses,” the statement says.
“The Asia Pacific region continues to grow dynamically and is the starting point of many supply chains that serve the technology markets worldwide.”
According to DHL, a key finding from the conference was that competition in the technology sector is intensifying, as Asia’s manufacturing location and consumer market become more significant.
DHL expects the finding will amplify the role of logistics as a ‘competitive differentiator’ in the technology industry.
DHL Express CEO Ken Allen says more than any other industry, the technology sector is driven by constant innovation, short product cycles and new sales channels.
“From a logistics perspective this is a great challenge, but it also provides forward-thinking logistics companies with an opportunity to embed themselves more fundamentally in the technology supply chain and generate even more value for customers,” Allen says.
The conference focused on Asia as a consumer market, the shift of manufacturing to areas such as China’s Western provinces, Vietnam or Indonesia, and the implications on supply chains.
Experts also reportedly highlighted that the continued growth of Asia at both ends of the product cycle will challenge global logistics providers to add resilience, visibility and control to supply chains.