The survey, conducted by CFO Research Services, a unit of CFO Publishing Corp., polled 247 senior financial executives on their involvement in and perceptions of supply chains within their companies. Some 61 percent agreed that management of their supply chains was crucial to corporate success.

The survey found CFOs most likely to cite two key objectives in explaining the importance of supply chain management: 93 percent cited the need to reduce operating costs and 82 percent identified the need to improve customer service.

CFOs also had an opportunity to cite the weakest links within their supply chains: 

• Fragmented supply chain control. CFOs are dissatisfied with traditional decentralized management of the supply chain, with 36 percent citing processes not being managed in a single location as problematic and 34 percent saying the lines of authority are unclear. 
• Inability to measure total supply chain costs. Only 17 percent of CFOs say they are "very" or "completely" satisfied with their ability to measure total supply chain costs, despite the fact that monitoring inventory levels is the single-most popular metric used to assess supply chain performance. 
• Numerous obstacles to be resolved. CFOs report numerous obstacles standing in the way of supply chain changes, with 58 percent citing resistance from operations or other functions as a main reason and 40 percent citing a lack of internal leadership.

"The supply chain is a critical and influential component of any business strategy and can impact, on average, 75 percent of operating results," said Gene Long, president of UPS Consulting. "The role of the supply chain has long been underrated. As the chief caretakers of value creation, many CFOs are working to correct this by literally taking matters into their own hands. In the end, it's important for a company to empower the CFO to ensure that business strategies and operational plans are well-integrated."