Technology Forecasters, Inc. (TFI) is predicting continued growth in outsourcing via their updated five year forecast. According to a release they just put out, TFI estimates that total outsourcing is projected to grow from just over $200 billion in 2005 to nearly $380 billion by 2010.

While brand owners continue to realize benefits from outsourcing, there’s a convergence of events taking place that are creating significant new challenges. Outsourcing results in supply networks that are both multi-enterprise and global. When combined with increasing demand volatillity, ever shrinking product lifecycles and global competition, supply chain management and execution become critical to success in the market. With so many constantly moving parts, there’s not a plan in the world that can foresee everything that is going to happen on a given day. The leaders will figure out how to respond to what happens each day in a way that maximizes customer satisfaction and profit. The companies that don’t figure this out won’t survive in this new environment.

This entry was posted on Friday, October 13th, 2006 at 12:58 pm and is filed under General News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.