Lacking supply chain awareness is hampering the competitiveness of South Africa’s wine industry.
However, supply chain experts believe that with some changes made to the industry’s supply chains, SA wine will be able to compete far more effectively on the global market. This belief is backed by a recent study conducted by Stellenbosch University (Wine Supply Chain Survey 2012: Van Eeden, Goedhals-Gerber, Louw – in conjunction with van Dyk (CSIR) and Kussing (PwC)).
Joubert van Eeden, study author and senior lecturer at Stellenbosch University’s Department of Logistics says, “Many cellars are still thinking like fruit farmers who merely sell their produce to exporters. It is a mind-set that can and must urgently change if the SA wine industry is to be competitive. Right now, increasing supply chain efficiency should also become a priority for struggling cellars to become more competitive in these tough economic times.”
In perhaps the most alarming finding of the study, the authors found that many of the cellars surveyed do not have detail quantitative supply chain information available. Supply chain management deals with getting the right product or service to the right place at the right time and cost in order to satisfy customer needs. * The results of the Wine Supply Chain Survey 2012 will be presented at the SAPICS Regional Conference, 18 September 2013, Cape Town. Visit www.sapics.org.za for more information.
