Supply chain management insights

Supply chain issues are high profile in 2023, not only due to the potential disruption caused by the global geo-political challenges that so many nations, communities and businesses face from day to day. In fact, the danger of disruption is just the most visible challenge that supply-chain management (SCM) professionals have to contend with today.

From building the resilience needed to bounce back from the pandemic to multiple ESG factors, digitisation and better integration of sourcing, contracting, financial processing and risk-management functions, companies are in danger of seeing their specialist supply-chain resources spread increasingly thin.

At Deloitte Central Europe, we therefore believe that it’s essential to have insight into the views of those companies across our region with a daily involvement in managing supply-chain challenges. That’s why we’ve created this special SCM supplement, which identifies not only the key challenges across multiple sectors but also the strategies most often implemented to resolve them.

The findings discussed in this report represent the opinions of more than 500 CFOs from 15 Central European countries. Responses to these questions were gathered between October and December 2022.

Prevailing supply chain disruptions

Despite the rise in the costs of raw materials and transport that followed the Russian invasion of Ukraine, and the swings in supply and demand that took place during the pandemic, nearly two out of three European CFOs (63%) say their companies are only affected to a moderate or small extent by supply chain and delivery problems. Higher shipping costs and problems in the delivery of final goods to customers are the most significant issue respectively for 70% and 77% of respondents.

Measures to mitigate supply chain problems

More than half of the companies surveyed are responding to their supply chain challenges by increasing collaboration with suppliers and by diversifying their suppliers and supply routes. Increasing use of digital planning tools and parts and supplies inventories are the other two major actions Central European CFOs are taking to address their supply chain problems.

Expected supply-chain recovery times

Most CFOs (48%) expect supply chain concerns to remain part of the business landscape until well into 2023. A third feel the supply chain issue will improve in 2024 or later. One in five believe it will improve before the end of 2023.