Effects of raw material bottlenecks
The purchasing consultancy Kloepfel Consulting has surveyed 134 purchasing specialists and managers online on how they deal with current supply bottlenecks and price explosions. The random survey was conducted from August 3 to August 18, 2021.
Optimistic companies
Despite supply bottlenecks and price explosions, the respondents are optimistic. Only one in ten participants states that their production is at massive risk.
Purchasing performs well
In many cases, purchasing has learned from previous crises. For the majority, the following are a matter of course: analyzing supply chains, maintaining supplier relationships systematically and comprehensively, global sourcing, dual sourcing. A good one in three companies also makes consistent use of knowledge about the raw material content of upstream products in negotiations. Just under one in three respondents relies on standardization or the avoidance of variants. In turn, one in five respondents’ states that they substitute critical materials. One in four plans material substitutions.
Where purchasing sees a need to catch up
Around a quarter in each case say, for example, that they make too little use of dual sourcing, material substitution, standardization, or contract management.
Purchasing wants to expand manpower
It is true that 36% want to create new jobs in purchasing. However, there are other levers for strong purchasing that are underutilized. For example, only 17% state that they are satisfactorily positioned regarding the future topics of automation and digitization.
External support
When it comes to external support, such as outsourcing or purchasing consultants, the respondents are hesitant. However, such instruments can structurally relieve purchasing so that it can focus on the essentials.
Conclusion – seizing the opportunities offered by the crisis
As in the many crises before, the current situation also underlines the importance of purchasing for companies. Many have learned from past crises and are aware of the weaknesses in their purchasing department. Purchasing should use the increase in capacity, for example through new colleagues and digital tools, to eliminate these deficits. In this context, it is worthwhile to bring in external support on a temporary basis. In addition, purchasing should be increasingly involved in product development and contribute to viewing suppliers not as obedient procurement sources, but as important innovation partners for a shared future.
Contact:
Christopher Willson
Kloepfel Group
Tel.: 0211 875 45323
Pempelforter Str. 50
40211 Duesseldorf
Mail: rendite@kloepfel-consulting.com