Procurement and supply professionals have a crucial role to play in the immediate aftermath of the UK Brexit decision, said David Noble, CIPS group CEO. “You must act as the suppressor of panic, not the creator,” he advised.
People who manage the supply chain are the outwards face of the company, so how they behave is fundamental to how the business manages these coming weeks and months. Supply chains can emphasise or exaggerate concern, which can then be magnified all the way down the chain, he warned.
In the first week post Brexit, as mounting questions about the future of businesses remain largely unanswered, Noble recommended that procurement professionals step up, lead the way and help others calm down by acting as the guardians or protectors of the enterprise.
In a time of risk, more attention needs to be paid to the supply chain and currency exposure, Noble believes, adding that professionals who understand the supply chain and where costs are built up are crucial to ensuring the company manages this period. Firms should extend hedging to protect themselves in the right places.
“The greatest exposures are all lying within our profession’s remit and linked to supply markets, contracts and trade regulations. We have to step up and take the lead as the external representative.”
“The CEO needs to know he has a robust, qualified person. He is going to want to know if the company risks or exposure have changed. I don’t think any industry will be unaffected, so it is important to monitor and plan,” he said.