What are the Top4 key risks of future procurement?

In 2024, most businesses face pressure from declining profit margins, and many companies are adjusting their strategies to cope with the market environment. From a supply perspective, what key risks are businesses focusing on?

According to a survey conducted by Gartner, the top four key risks impacting procurement in the future are below:

42% of procurement executives cite supply disruptions (natural disasters and transportation issues) as the most significant risk to procurement success. This concern stems from such disruptions' unpredictability, speed, and severity.

Macroeconomic Factors, Including economic recessions, inflation, and other economic factors, are the second-largest risk.

Geopolitical Issues, including tariffs and regulatory changes, are tied to compliance risks as the third-largest risk.

Compliance Risks, Including regulatory and contract risks, are also among the top concerns for procurement executives.

Building close relationships with suppliers who provide critical goods and services can enhance supply chain resilience and stability. Businesses must develop flexible market strategies to adapt to the ever-changing economic environment.

We would like to hear your thoughts on developing partnerships. Is it a wise choice in the current economic environment?

Please feel free to share your thoughts in the comments below.