Buyers: In demand as never before
- Sustainability: The Supply Chain Act
- Risk management: Upgrading procurement
- Technological progress: Suppliers as innovation partners
- Skills shortage: slim down purchasing & further qualify it
- Digitalization: Supply chain transparency
- Outsourcing: Time for the essentials
- Upgrading purchasing
Never has the topic of supply chains been so present in the public and in the media as in times of the pandemic. This makes it even more important to take a closer look and no longer view purchasing as merely an ordering department:
Companies and buyers that address the following seven megatrends will be able to future-proof their supply chains well beyond 2022.
Sustainability: The Supply Chain Act
The sustainability megatrend will shape the future – which is why we at Kloepfel, for example, are fully committed to ESG in purchasing (Environmental, Social, Governance). Currently, this topic presents many companies, especially medium-sized companies, with great difficulties. Among other things, because the data in purchasing and along the supply chains are not transparent enough. In addition, the implementation of the Supply Chain Law is very time-consuming because the legislator imposes many requirements. The ESG team of Kloepfel Consulting is happy to provide assistance – also operationally.
Risk management: Upgrading purchasing
Basically, we believe that the current supply difficulties and price increases will continue in 2022. At least for the first two to three quarters – especially for electronic parts, semiconductors, sea freight, energy and gas, metals, and plastics. It is important to keep in mind that the global world is not as it was thought a few years or months ago. There are risks that medium-sized companies have to deal with. These include political instabilities, logistical risks, inflation or currency fluctuations. That is why risk hedging, alternative suppliers, global in combination with local procurement are very important topics that companies must not postpone under any circumstances.
Technological progress: Suppliers as innovation partners
Closer cooperation with suppliers with regard to technological developments is another topic that we have been highlighting for years. The supplier should be seen as a partner with whom developments are approached jointly. After all, the supplier knows the preliminary product best and also knows his supply markets. It is also possible to work together with several suppliers, to procure jointly and to jointly prevent market uncertainties.
Shortage of skilled workers: streamlining purchasing and improving qualifications
If many company managers had invested in their purchasing department in the past and hired more buyers, they would now have other options for warding off high prices or closing supply bottlenecks. In the meantime, many companies want to hire more buyers, but simply cannot find suitable specialists and managers. Buyers who take care of suppliers, i.e. who practice professional supplier management and marketing, are often lacking. In addition, companies should invest significantly more in training their buyers: The well-functioning buyer that you just hire is becoming less and less common. It is therefore better to hire an employee who may not yet be the perfect buyer, but then train him or her accordingly.
Digitization: supply chain transparency
Digitalization enables transparent and well-functioning purchasing. Risks become identifiable, supply chains become more transparent and the Supply Chain Act can be better implemented. In addition, digital tools streamline purchasing so that it can focus on the essentials. First and foremost is master data management. The necessary IT systems exist in some cases but are only being used half-heartedly. Time and again, our customers fail because there is no one to enter and harmonize the data.
Outsourcing: Time for the essentials
Buyers are in short supply. The solution is operational purchasing service providers (such as Kloepfel Services), which can take over all operational purchasing activities for companies. This allows the company’s buyers to focus on strategic issues, ensuring that supply bottlenecks or price increases are avoided wherever possible.
Upgrading purchasing
The purchaser should increasingly be seen as a strategic partner who builds supplier relationships. He should initiate developments together with suppliers, as described above. He should also find new suppliers, see trends early on and deal with risk management. The reputation of purchasing urgently needs to be improved. Unfortunately, this is still not on the agenda in many companies.
Contact:
Kloepfel Group
Christopher Willson
Tel.: 0211 941 984 33
Pempelforter Str. 50
40211 Duesseldorf
Mail: rendite@kloepfel-consulting.com