Manufacturing and Distribution
In This Chapter
Improving operational efficiency is a prime driver for success and profitability in the manufacturing sector. In addition to a sharp focus on operational efficiency, this sector is driven by two key needs: to reduce the cost of manufacturing goods, and to have a sophisticated and effective channel of distribution.
In this chapter, we highlight two companies. Avnet is a computer and electronics distributor, and Cisco is a computer and electronics manufacturer. Although the two companies have a lot of differences, they have a lot in common as well. For example, both provide solutions directly to customers and indirectly through a complex partner channel. Therefore, it’s not surprising that technology innovation is at the core of how companies in this sector differentiate themselves.
The advent of a service oriented manufacturing and distribution strategy has enabled these companies to be much more nimble in connecting partners, suppliers, and customers. These companies have leveraged online ordering, self-service portals, and integrated sales channel technologies. Each company faces a stiff competitive environment, and views using SOA as a way to stay ahead. Both companies have developed specific business services that allow them to respond quickly to their partners’ requirements. Both companies have used SOA to improve the way they provide service to customers, suppliers, and partners.
Avnet, as a global ...