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Cost Pressures Driving Supply Chain Upgrades

When the going gets tough, the tough upgrade their supply chains. Sean Reilly writes for the Federal Times about how cost pressures direct upgrades. Real-time location systems are one major improvement over standard barcodes, in that now it will no longer be necessary to count stock by hand in order to know when it is time to restock. This is being employed to promising effect by the Veterans Affairs Department. The Air Force has meanwhile saved $121 million since the middle of last year by simply altering the locations where it gases up its planes. The military has stumbled in much more costly and grandiose ways though, in that it has failed to adopt new and better IT policies which can be seen in organizations like Walmart. The US Postal Service by comparison is taking an Oracle-based approach to centralize inventory management in order to stop the bleeding of the billions of dollars it is losing each year. Different organizations are coping in different ways with the money crunch. Whether their solutions will succeed remains to be seen.

About John Friscia

John Friscia is the Editor of Computer Aid's Accelerating IT Success. He began working for Computer Aid, Inc. in 2013 and continues to provide graphic design support for AITS. He graduated summa cum laude from Shippensburg University with a B.A. in English.

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