Firefighting instead of Investing in Fire Prevention …
… that sums up the results of our latest risk management study. Nine out of ten respondents were a ected by delivery failures in the past year. But despite this, the number of companies investing in strategic risk management and corresponding digital solutions actually stagnated.
In light of the turbulence in nearly every supply market, we had expected companies to further develop their digitally-supported risk management systems. However, the number of companies that use structured risk management software has remained almost unchanged in comparison to the previous year. Almost 90% of participants expected risk management to become more relevant in procurement in the future. Clearly, lots of procurement departments were so busy ensuring the supply of key goods that there was no time left to think about strategy and development.
90% of those who participated in the study reported delivery failures within the past six months. The main reasons given were capacity issues for suppliers (93%) or bottlenecks in logistics (83%). Factory closures due to the pandemic were a factor for almost half of the respondents.
Read the full article with many more insights in our Supply Management Insights customer magazine.
Here you can download the magazine free of charge:
Fill out the contact form to receive the magazine issue. You will then receive the entire issue by e-mail.