May 7, 2002 — David Ritter, a Senior Manager with Cap Gemini Ernst & Young, advised chemical and energy industry companies at a major conference today that a major business imperative should be transforming their businesses to embrace adaptive supply chains.
“Adaptive supply chain solutions will make the oil and chemical businesses more agile, responsive and better able to manage the volatility in supply, demand and price,” Ritter said at Manugistics’ EnVISION2002 Conference, an award-winning conference series which gathers industry customers and partners.
“The number of logistics options in the downstream supply chain and the variety of fuels specifications create complex problems that lend themselves naturally to solutions using adaptive supply chains,” Ritter said.
“The entire industry suffers when supply and demand relationships get out of balance which could lead to price or demand spikes that impact consumers.”
One adaptive supply chain solution Ritter mentioned is Elemica, a public marketplace for supply-chain trading that was established by 22 global chemical companies — including DuPont, Dow Chemical, Shell Chemical, and BASF.
“Companies that embrace adaptive and integrated supply chains will enjoy game changing benefits in terms of increased revenues and decreased costs. Today’s business environment, characterized by increased volatility, complexity and real-time responsiveness to customer expectations, demands innovative approaches to supply chain problems,” Ritter said.
In his speech, Ritter described adaptive supply chains as the next generation of end-to-end solutions for agile, flexible networks that extend beyond enterprise walls. He noted that adaptive supply chains create unprecedented financial and physical stock visibility that can be leveraged to drive reductions in operating costs and increased revenue.
David M. Ritter is a Senior Manager with Cap Gemini Ernst & Young’s Global Energy and Utilities Practice and a leader in the Downstream Oil/Supply Chain Service Line. Ritter has over 20 years of global petroleum industry and consulting experience and is primarily focused on the Downstream Oil Sector.
Before joining CGEY, he held senior positions with Mobil, BP and ExxonMobil and has lived and worked extensively overseas. He uses his expertise of Downstream Oil, M&A and Finance to help energy companies increase profitability and effectiveness through development and implementation of transformational change strategies, tactics and business processes.
Cap Gemini Ernst & Young is one of the largest management and IT consulting organizations in the world. The company offers management and IT consulting services, systems integration, and technology development, design and outsourcing capabilities on a global scale to help businesses continue to implement growth strategies and leverage technology in the new economy.
The organization employs more than 56,500 people worldwide and reports 2001 global revenues of about 8.4 billion euros.
About Energy, Utilities & Chemicals Global Sector
With more than 6,000 dedicated consultants engaged in Energy, Chemicals Mining and Utilities projects across Europe, North America and Asia Pacific, Cap Gemini Ernst & Young’s Energy, Utilities & Chemicals Global Sector Unit serves the business consulting and information technology needs of many of the world’s largest players of this industry. More information about individual service lines, offices and research is available at www.cgey.com/energy