As CEOs grapple with managing through the current economic volatility wrought by COVID-19, another area we dive into in this series of articles is supply chain management.
My collaborator on this subject is Juli Lassow of JHL Solutions who spent her career at Target, Inc. in Merchandising and Global Sourcing roles. Juli now helps companies plan and navigate the intricacies of a modern supply chain and adjust strategy during times of change.B2B Companies may need alternate suppliers
Economic volatility impacts large and small companies alike and your go-to suppliers may not be able to deliver when you need them most. CEOs should ask “Can we wait it out” (until our trusted partners can deliver)? It’s the right initial question because these are partners that you have worked with and trusted over the long term – you don’t want to disregard them. Leverage your back-up supplier while staying connected to your original partner to understand their progress back to ideal performance, and help them if you can.
If you must make a change or you don’t have a back-up supplier to turn to, go back to the basics when seeking out new partners, remembering that a great supplier is a true partner. Ask:
Finding the right back-up might take some effort, but in the long run you’ll have a great supplier who aligns to your specific needs and keeps you in business until your long-term partner returns to full capacity.
With stay at home orders and personal quarantines, B2C companies are experiencing a huge shift in consumer behavior that is disrupting supply chains like never before. For many, customers aren’t purchasing at the same volumes they were previously, impacting multiple areas of the supply chain.
About our Authors
See Aurora's bio below.
Juli Lassow is the owner and principal of JHL Solutions, and is known for delivering sourcing and negotiation strategies that enhance sales, profit, and collaboration. Reach her at email@example.com.