Brexit: be ready to act
Featured within a recent article in the Raconteur’s Future of Procurement, both Daniel Peck and Phil Woode from Efficio talked about how the procurement industry can prepare for UK’s exit from Europe.
By discussing how the procurement industry can begin to prepare and be ready, we will look at the suggested pathways both in public and private sector organisations.
Keep reading to discover how to prepare your business for Brexit and assess the risks while drawing up a contingency plan during these crucial months ahead, helping you to be ready for Brexit.
Are you ready for Brexit?
With the UK’s exit from the EU ever looming, the details about our exit from the European Union still remain unknown. With fears flourishing surrounding both the political and economic landscape within the future, there are a number of challenges and opportunities that we are sure to be faced within the distant future.
When it comes to preparing the procurement industry for Brexit, we will look at the limited, cold hard facts in this unfamiliar territory. From trade, freedom of movement, organisations, are you ready for Brexit? Keep reading to discover the simple checks you can take to make sure that both you and your business are ready for Brexit.
When it comes to preparing your business for Brexit, it is recommended that businesses should pay particular attention to the core pillars of procurement, sourcing strategies, current suppliers and existing contracts.
By conducting a risk assessment, businesses can discover and identify any risks that could cause harm to the business, while working to create a solution against these identified problems.
In the interview, Daniel Peck, principal at Efficio, said “Details of the Brexit agreement will soon begin to emerge, whether it’s a transition deal, a hard exit or something else. Public and private sector companies should be assessing the impact of change on their supply chains now and positioning themselves to capitalise on new opportunities.”
Another top way to ensure that you are ready for Brexit and that is to inspect your businesses sourcing strategies. By evaluating any existing strategies, you can predict and make room for any maneuvers in cost and import charges. Senor manager at Efficio, Phil Woode said “Clear visibility of existing sourcing strategies and an understanding of how sensitive they may be to factors triggered by the UK exit is crucial.”
An important feature when running a business, strategic sourcing is an essential aspect within supply chain management. Focusing on the way that information is gathered and stored before being consolidated throughout businesses purchasing in collaboration with the company’s goals.
When it comes to discovering if you ready for Brexit, another recommended action from the team here at Efficio and that is to discover how both suppliers and supplier markets will be impacted by Brexit.
By being able to track the origins and route of all goods, you can foresee any stumbling blocks. Along with hoping to eliminate any potential issues, by inspecting these vital aspects, you can work to fully understand your supply chain.
With little doubt that Brexit will affect suppliers and supply chains, it is also recommended that businesses work together with their key strategic suppliers.
Mr Peck recommends “Your company may be well prepared, but that doesn’t mean your
suppliers or their suppliers will be.” “By assessing the supplier relationship will enable you to decide whether to renew, renegotiate or terminate contracts.”
The final way that businesses are recommended to prepare for Brexit and that is through the use of evaluating and assessing all contracts that are currently in place. Becoming familiar with supplier contracts is essential through unsure times.
Mr Woode said within his interview “Companies need to know exactly which contracts involve data transfer, freedom of movement, cross-border logistics or imported goods in the supply chain and, importantly, which are at risk due to change.”
“Understanding your contracts gives you a good base from which to react. You will know which areas are stable, where you have the most contractual protection and where you have the least.”
An unsure time for many businesses, when it comes to being prepared and ensuring that your business is ready for any unexpected events that follow after Brexit, follow these recommended tips.
Three important pillars that should be evaluated and inspected on a regular basis, essential when it comes to asking yourself the question, am I ready for Brexit? These foundations can act as a guidepost to guide you through these unsure times.
For more information to help you and your business to be ready for Brexit, you can read the entire, full article here. At Efficio, we have also put together a Brexit Readiness Assessment, helping you to see for yourself how prepared you are for the exit of the UK from the European Union.
For more information and to discover how best to prepare your business for Brexit, contact us directly here at Efficio. Contact us firstname.lastname@example.org
Or for more information, read our Brexit: Be Ready to React and download the blog below.