Supply Chain Managament

This year, in response to ongoing supply chain disruptions, the majority of German companies have adjusted their procurement strategy. That was the finding of the business survey "How companies are responding to supply chain disruptions". The survey was conducted by the ifo Institute among 4,000 companies in the manufacturing, wholesale and retail sectors in July and published in October. We provide an overview of the key findings.

From January 1st 2023, the German Supply Chain Act holds companies with more than 3,000 employees in Germany liable to comply with extensive due diligence obligations towards people and the environment in their supply chain. One year later, the law will also take effect for organizations with more than 1,000 employees. In the following interview, Judith Jung, specialist group representative at the German Association of Materials Management, Purchasing and Logistics (BME) and project manager at the Competence Center for Innovative Procurement (KOINNO), and Carsten Knauer, head of the BME Logistics Section, discuss why small and medium-sized companies are also affected and what they can do to prepare.

Companies are currently confronted with a multitude of risk events that directly or indirectly impact procurement, production and supply security. Most of these incidents are beyond direct control – yet there are ways to identify risks, adjust processes and optimize systems. The basis for this is supply chain analytics – the targeted evaluation of the data stream that accompanies goods along the supply chain. Our new blog post explains the basics of supply chain analytics.

Efficient freight management is crucial for seamless logistics processing within the supply chain. It can be supported by a web-based and individually configurable supply chain management platform. So how can companies manage their transports in a targeted manner and thus take advantage of the benefits of such a digital system to optimize their supply chain? Christian Krogmann, International Manager at Hermes International, a division of Hermes Germany, discusses these and related questions.

Sustainability is not just a trend, but one of the major tasks of today. This is why companies are striving to improve their environmental balance sheets and are actively working towards reducing their harmful emissions. A first or additional step in this respect is the offsetting of carbon emissions. But which measures actually serve their purpose? We have the answer.

For many years, companies have organized manufacturing, procurement and logistics processes according to the principles of lean management. Lean and cost-efficient – this is how production and supply chains should be designed. However, in view of the current challenges in the global trade and transport of goods, agile models are now gaining in importance. So what is supply chain agility and how can companies use it to boost their success?

For many years, the Just-in-Time model has been considered a success driver. In the crises of recent years it became apparent that the method also has disadvantages. Thus, the just-in-case method, suddenly had a comeback. But which method is suitable for whom – and do companies really have to decide? We want to provide fundamental answers to these questions.

The threat that is presented to supply chains by cybercrime has increased in recent years. As a result, a growing number of companies are addressing the potential risks and taking security measures. The focus has shifted in particular to the security of customer and employee data. This shift is reflected in the results of the 16th Hermes-Barometer titled "IT and Data Security in the Supply Chain" by Hermes Germany.

To ensure long-term competitiveness, companies must integrate ecological and social criteria into their target systems and their decisions. So where can companies start? Anna Schuldt, business analyst and sustainability expert at Hermes International, advises those in charge to be anything, but afraid of the task.

The global value chain continues to be affected by severe disruptions. Against this background, efficient supplier management is critical to success. We outline the challenges and provide tips for sustainable action.