IT Spending - How Manufacturers Are Reducing Costs

IT (information technology) spending by the manufacturing industry all over the world will take a hit as companies counter the economic recession by reducing their workforce, cutting costs and overheads, and/or stopping production for significant periods of time.

Manufacturers need to think long-term and be more strategic about cost-cutting measures in order to survive the current economic climate.
Effective use of IT can in fact help reduce costs, and improve agility and decision-making capability.
Web-based applications especially create a platform for the existing workforce to be more productive. They also enable collaboration across the supply chain, and connect outsourced facilities with internal operations.

In the coming months of 2009, manufacturers will try to leverage existing assets to deliver maximum value to their businesses. Short-term Total Cost of Ownership (TCO) will take precedence over long-term Return-on-Investments (ROI).
Manufacturers need quick payback on their investments this year, and maximum value from the investments they have already made.

See web-based solutions for manufacturers at Tuppas Software Corp. for ideas on the types of IT investing manufacturers will be making this year.