When analyst firm Frost & Sullivan surveyed 102 Australian wholesale and manufacturing companies, they found that just 10% of companies are able to accept orders online.
While this shows that many are yet to embrace new technologies, 76% of respondents expect an increase in orders over the next few years and 75% believe that e-commerce has the potential to greatly improve their business.
Online retail has the potential to impact Australia’s manufacturing industry, and help businesses become competitive in international markets. Frost & Sullivan managing director, Mark Dougan commented that the study results indicate local manufacturers are failing to invest in IT resources that could improve their productivity.
He believes the manufacturing process in Australia would become much more efficient should companies put in place a good enterprise resource planning (ERP) system.
Dougan said that if Australia has any hope of competing with low cost locations such as China, manufacturers must invest in IT solutions that open up more business opportunities.