31 January 2008
Companies with the best supply chains are more financially successful than their competitors, according to research.
A study by AMR Research compared the performance of shares in 23 of the firms in AMR's Supply Chain Top 25 with the average returns of shares on US stock markets. The average return on investment in one of the Supply Chain Top 25 is just over 17.8 per cent - much higher than the 6.4 per cent average from the Dow Jones Industrial Average index and the 3.5 per cent average from the S&P 500 index of stocks.
Kevin O'Marah, chief strategy officer at AMR, said: "We're excited once again to have proof that supply chain excellence and leadership really do make a difference. Clearly this is a group of companies that excels, strongly weathering the ups and downs we saw in the market last year."
Samsung and Publix Super Markets were not included in the study as they are not listed in the US.