Over 60% of businesses identify the lack of resource and knowledge as their biggest challenge when it comes to managing their supply chain, that’s according to the BCR, ‘Facing the Future: Challenges for the supply chain revealed’ insights report.
The survey’s insights report provides a snapshot of the challenges businesses are facing and reveals future opportunities and trends.
Canvassing the opinions of South West businesses, from across the sectors, the survey began by asking respondents about their procurement challenges during Covid.
Although recognising a marginal decline, in reliability of service and communication, only 2% had seen a decline in quality. At BCR, we witnessed at first hand the issues suppliers faced transitioning their team to him working, with communication suffering as a result. This is born out in the survey - with the top 3 challenges for sourcing new suppliers, all communication-related. As one respondent notes: “the main issue has been, and continues to be, just getting in touch with the right person.”
Regarding current priorities, value for money remains the biggest factor, with quality coming in at second place.
The survey also questioned businesses about ongoing challenges for the supply chain, not specific to the Covid pandemic, and how their procurement is currently delivered.
Perhaps the most insightful data, however, centres on future concerns for the supply chain, with businesses identifying their top three:
- Consolidating spend - In current circumstances, with so much volatility and uncertainty in the market, businesses fear price increases and supply and demand issues, so want to consolidate spend accordingly.
- Sustainability - Sustainability is now at the forefront of most businesses' CSR strategy, responsible sourcing a big consideration.
- Increasing supplier collaboration and technology - Good communication with suppliers, and making the best use of technology to manage your supply chain, is more crucial than ever before with many businesses and suppliers working remotely and feeling the strain of staying connected.
The survey also revealed businesses’ predictions regarding the key trends for procurement, with increased volatility and sustainability figuring highly.
With expert analysis, tips and advice from the BCR team, the insights report aims to help prepare businesses for the future; making them aware of the issues and enabling them to take the necessary steps to future proof their procurement practices.
Understanding the pitfalls and opportunities, when managing your supply chain, has never been more important, with Brexit legislation and the impact of Covid-19 to consider as we move towards 2021. Getting prepared, putting a robust procurement strategy in place and, if necessary, seeking specialist support, are all key tactics for businesses to consider.
Please download the insights report here:
At BCR Associates we aim to provide businesses with the foundations for long-term stability and opportunity for growth. If you would like more information on managing your supply chain, procurement or a cost review for your business, please send us an email at email@example.com or call us on 03330 433 233.