Purchasing News Hubb
Advertisement
  • Home
  • Procurement
  • Supply Chain
  • Contact us
No Result
View All Result
  • Home
  • Procurement
  • Supply Chain
  • Contact us
No Result
View All Result
Purchasing News Hubb
No Result
View All Result
Home Supply Chain

Is your supply chain recession ready?

admin by admin
February 6, 2023
in Supply Chain


There have been rumors of an incoming recession for a while now. With this in mind, there’s no time like the present to evaluate whether your supply chain will be able to weather the storm of another set of unfavorable economic conditions. There are plenty of challenges that a recession can bring, and having a set response for each of them could help your organization stay ahead of the competition.

Why this recession may be different

Luckily, this possibly upcoming recession is accompanied by some underlying conditions that change a lot about traditional thinking. According to a Gartner report, there’s a big difference this time around, namely that today’s supply chains are currently supply-constrained due to global uncertainty and the ongoing effects of the COVID-19 pandemic. This may give your organization the opportunity to finally balance out its supply with its demand and retain a much more even keel than it might be operating on today. The report goes on to say that for organizations to get ready for this possible recession, there are three things that need to happen:

  • Your company needs to identify where its resource bottlenecks are.
  • Your supply chain organization needs to evaluate where it feels it can take risks even in a down-turned market.
  • You must prepare for when the market starts to recover to thrive.

What this means for many companies is that the recession may not be as bad for them as originally thought. The clear message that Gartner is sending should be reiterated and thought about by any supply chain professional. Success comes from taking careful stock of what could happen in the future and managing your risks appropriately. Companies that understand this the best will come out of the recession as if it had never happened, and indeed possibly in a better position than they were before.

There are still steps you can take as a precaution

While the recession may not be bad for your organization, there still is no guarantee. Your company should be taking steps to ensure it isn’t blindsided by a sudden change in economic conditions. Here are couple of best practices that you should follow just in case:

  • Keep a close eye on your suppliers: You might be in a good spot for the recession, but it doesn’t mean your suppliers are. A supplier might suddenly fold, leaving you in the lurch. By keeping an eye on how they’re doing, you’ll avoid any unpleasant surprises.
  • Plan ahead: While this is the first rule of supply chain management, taking the time to understand where your organization may fall in terms of a recession will be helpful for your company in the long run.

Whether a recession comes in 2023, having clear knowledge of where your company could be vulnerable and creating plans to mitigate risk represent the best way to ensure your organization doesn’t face major trials should the economic worst come to pass.





Source link

Tags: Is your supply chain recession ready?The Strategic SourcerorThe Strategic Sourceror: Is your supply chain recession ready?
Previous Post

Nearly Half of CPOs Making Supply Chain Changes After Pandemic, Procurement Leaders and GEP report

Next Post

Vendor Analysis — Contractor and Project Management solution

Next Post

Vendor Analysis — Contractor and Project Management solution

Recommended

Sales and Operations Planning – What Is It, and Why Should You Care?

August 4, 2022

Procurement Recruiters Partner With Kaleida

August 4, 2022

Don't miss it

Supply Chain

Three supply chain risks that will hurt your bottom line in 2023

March 29, 2023
Procurement

Procurement Heads Awarded Kaleida Gold Seal

March 29, 2023
Supply Chain

Vendor Analysis — Supplier data management solution overview

March 28, 2023
Procurement

Procurement Leadership Blogs : Procurement Recruitment Blogs

March 28, 2023
Supply Chain

Vendor Analysis — Payment terms analytics solution overview

March 25, 2023
Supply Chain

SRM needs a CRM makeover in major procurement systems

March 24, 2023

© Purchasing News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • Procurement
  • Supply Chain
  • Contact us

Newsletter Sign Up

No Result
View All Result
  • Home
  • Procurement
  • Supply Chain
  • Contact us

© 2022 Purchasing News Hubb All rights reserved.

Our Spring Sale Has Started

You can see how this popup was set up in our step-by-step guide: https://wppopupmaker.com/guides/auto-opening-announcement-popups/