Act now to ensure sourcing and manufacturing optionality
When the unexpected happens, not having supply chain sourcing optionality or manufacturing footprint capacity could impact margins, growth and customer service.
- The global pandemic has added a new layer of risk to the environmental, geopolitical, economic and technological factors supply chains were facing at the beginning of the year
- In its June Report, the Organization for Economic Cooperation and Development (OECD) considered two possible scenarios: one in which the virus recedes and remains under control, and one where a second wave erupts later this year
- In the more optimistic scenario, OECD predicts a 6% fall in global economic activity in 2020
- In the 'double hit' scenario, it forecasts a 7.6% fall in economic output in 2020, climbing back to 2.8% in 2021
- In a May 2020 survey of 667 global chief financial officers and senior financial executives conducted by Coupa software, 87% of respondents said a global recession is likely, with 53% saying it will last longer than six months
- Beijing's new national security law has put Hong Kong's status as a financial hub in jeopardy, opening the door to possible US sanctions and threatening the stuttering phase one trade deal between the US and China
- Trade negotiations between the European Union and UK are continuing amid growing concerns that the two sides will fail to reach an agreement before the end of the year
- In an increasingly uncertain world, supply chain leaders need to quickly take measures to manage short, mid and long-term risk through supply chain resilience
Maine Pointe's range of end-to-end services helps CEOs build resilience into the supply chain
The pandemic has caught many companies off guard. It has brought to light the hidden vulnerabilities that exist within an otherwise efficient global supply chain, reinforcing the need for digitization, optionality, agility, better visibility and an improved balance between local, regional and global sourcing and adding new urgency to the need to know sooner and act faster.
We can help you prepare for and respond to the unexpected
Consumer behavior has changed, perhaps permanently. Some suppliers continue to fall behind in meeting production and delivery schedules, while still others have shut their doors for good, and the disruption to the supply chain is likely to last longer than the pandemic itself. Having an end-to-end supply chain risk management approach is critical to growth, profitability and corporate survival. Our three step stabilize-recover-rebalance approach can help organizations weather the pandemic, manage supply and be better prepared for future global risk events.
Our supplier base now understands that we bring a much larger spend to the market than was previously visible, and our organization understands the risks and opportunities within our supply chain. I would recommend Maine Pointe to any organization looking to transform its procurement, sales and operations planning and data analytics capabilities into competitive advantages." CEO heavy equipment manufacturer (Maine Pointe Success Story CS222a)
Take the first step
Don't wait for the next storm to hit. Contact us and find out how our flexible onsite/offsite delivery model can help you reduce risk, decrease cost, release cash and drive growth across your plan-buy-make-move-fulfill supply chain.