Much of the recent press around CO2 shortages has the feel of a silly-season news story that generates clicks at a quiet time in the news business. Coming in the middle of a hot summer in the UK, it certainly looks like unfortunate timing for drinks businesses that should be delivering solid like-for-like growth. However, look a little deeper and we see some repeated lessons from this and other recent shortages that highlight the value of the strategic side to procurement:
Procurement always has ambitions to be a truly strategic function, which we fully support. But it’s often not set up to succeed. It needs to be plugged into core business processes such as innovation, customer service and finance / decision-support, and resourced with the right capabilities to do the research, evaluate the options and make the case to the rest of the business. With this, FMCG businesses can turn “problems to react to” into opportunities for margin, differentiation and ultimately, growth.
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