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Report: digital could give Asia supply chain edge

02 August 2024

Historically viewed as a hub for low-cost labour, Asia is now the epicentre of digital supply chain expertise, outpacing Western counterparts in both skill acquisition and technological advancement, says a new report.

RESEARCH FROM Zero100, a leading supply chain intelligence firm, reveals a dramatic shift in the demand for digital skills, positioning APAC at the forefront of innovation and challenging the traditional dominance of the US and UK.

This seismic shift is more than offshoring; it signifies a redistribution of power with significant implications for the future of work.

In APAC, over 26% of supply chain roles demand digital expertise, compared to 15% in North America and 19% in Europe. This gap is also reflected when looking at jobs posted by Western companies operating in APAC – 27% demand digital skills compared to 16% back home.

Puma chief sourcing officer Anne-Laure Descours, says: “Given the revolution we are witnessing, it’s essential that Western companies revisit their Asia talent strategies. When we established our sourcing team in Hong Kong, it wasn’t a cost decision, it was a capability decision. It’s primarily about the skills people bring and what they contribute to running the business effectively.”

APAC job postings are three times more likely to require cutting-edge capabilities in automation, analytics, and software engineering. The region's focus extends to artificial intelligence, machine learning, big data, and cloud technologies – critical components for building resilient, future-proof supply chains.

The rise of APAC's digital talent pool presents both challenges and opportunities for Western firms. To remain competitive, companies in the US and UK must rethink their talent acquisition strategies and embrace the evolving landscape. This talent shift is more than just filling roles; it marks a 'brain gain' for APAC, with top universities producing world-class graduates and Western-educated professionals returning home to lead global supply chains, says Zero100.

 
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