Outsourcing
The application of the theory like JIT, LP, CRP doesn’t bring the expected dramatic costs savings: Managing such a complex system (like manufacturing industries) means often to face stochastic events, binding suppliers’ lead time….
In the most cases There’s no chance to cut warehousing, and the internal excellance of a firm depends from external limits : Markets, Suppliers, Retailers….
The actual trend is the use of Outsourcing and alliances with services suppliers. This means the chance , fir the firm, to concentrate improving efforts in the real “core business”and on value -adding processes.