Supply chain to hold key role in transition to a consumer demand driven-economy

The transition of the Chinese economy is reflected by the growing appetite for consumer products, which will mean not just more imports and more brands but also increasingly heated competition in the management of the supply chain, according to Edwin Keh from the Wharton School of the University of Pennsylvania.

In a recent interview in Beijing, where he was guest lecturer teaching supply chain management at the Cheung Kong Graduate School of Business, Keh also said high demand volatility can easily lead to an excess inventory.

Keh is a former COO and senior vice-president of Wal-Mart global procurement, a position he held until April 2010, when he managed the sourcing activities in more than 50 countries.