Home » Customs & Trade » Distribution managers anticipate modest growth for 2004

MEMBERS of the Distribution Management Association of the Philippines (DMAP), the association of logistics and distribution managers in the Philippines, project conservative growth for the distribution sector this year.

“Recovery does not happen overnight. It takes time… and it seems that it’s going to take longer than expected. So in the meantime, we have to make good use of what we have,” newly inducted DMAP president Ana Rose Ochoa said. Freight rate increases, especially in seafreight, will remain the biggest issue for the distribution sector in 2004. “Again, we are left with no other choice but to stretch our capabilities in terms of costs and service efficiencies,” she said. Distribution managers, she noted, will just have to keep looking for ways to reduce costs while enhancing service efficiencies – all this in the face of more powerful and demanding customers and more competitive suppliers.

A key survival strategy among DMAP members is collaboration. “We often hear about how rapid oil and fuel prices increase. Collaboration with service providers can help players come up with cost-reduction opportunities,” Ochoa noted. For 2004, DMAP will focus on the professionalization of the distribution management field through training, seminars and an annual conference held every September; achieving cost efficiency; and fostering innovation.

The 90-member DMAP is eyeing the 100-membership mark this year. “We are hoping to get the 10% from the manufacturing sectorÉ majority of our members already come from this sector,” said Ochoa.

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