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Changing the Game for CPG Value

Changing the Game for CPG Value Chain Visibility and Collaboration in Emerging Markets

James Layard
BT
November 1, 2012

Summary:
From BT. APAC is different! Key challenges felt by CPG industry players in the rest of the world are often even more acutely felt in APAC with its vast distances, real borders, cultural diversity, different operating models, and variable levels of physical and technical infrastructure.

While most MNCs have strong growth ambitions in APAC, they have come to realize that different approaches are needed to operate in this environment.

At the heart of the challenge facing the CPG industry in APAC is a lack of effective mechanisms to maintain visibility of product flows from source to consumer. This is especially pronounced in the Traditional Trade channel and with the Distributer route to market approach, which together represent the bulk of CPG volume in APAC emerging markets. The illustration at the right shows the approximate numbers of stakeholders involved in the CPG to Consumer part of the value chain, and further reinforces the size of the challenge for maintaining visibility and collaboration.

An improved Track and Trace capability to enhance stock visibility across the chain, and an effective and simple communication platform to enable collaboration across all the relevant CPG stakeholders would drive a step change in performance for the industry.

BT Trace can be a highly differentiated, industry changing, solution for the APAC CPG value chain (“source to consumption”). The flexible solution can be used in a very broad range of applications that meet specific CPG industry challenges in emerging markets, particularly as regards enhancing collaboration and visibility between manufacturers, distributers, outlets and consumers.

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