THERE COULD BE SHOCKS ON THE HORIZON
Inadequate finance and procurement data management is leaving many firms at risk of falling foul of evolving regulatory tax and e-invoicing requirements, and the financial penalties worry respondents.
POOR VISIBILITY INTO BUSINESS DATA PRESENTS A SERIOUS FINANCIAL RISK
Financial penalties are the biggest risk of having a lack of visible finance data:
Poorer business performance and share price is the biggest risk of having a lack of visible operations data:
SPOTLIGHT ON SUPPLIERS
Firms are aware that compliance risk extends beyond internal operations, and they lack confidence in their suppliers.
say they struggle to prove that their financial supply chain meets the full range of standards for compliance
believe their suppliers pose the biggest risk to their reputations
They recognise their shortcomings, but they do not have the right tools to help them successfully manage supply chain risk. Poor data visibility is a problem, but there are also issues with internal processes and the investor mindset.
say they are unsatisfied with their data capabilities for supplier selection and onboarding
say their compliance procedures focus on the top tier of suppliers, rather than on the entire ecosystem
Continuous monitoring of supplier information is least likely to get increased investment in the next three years
SOME INDUSTRIES ARE FALLING BEHIND
Respondents who agree that their organisations struggle to prove that their supply chain meets the full range of standards for compliance:
Real estate and construction
Energy, mining and utilities
Hospitality and leisure
TO BUILD RESILIENCE, ORGANISATIONS NEED TO CHANGE THE WAY THEY ADDRESS RISKS THROUGH BETTER SUPPLIER INFORMATION MANAGEMENT.
For example, many have invested in sophisticated systems to manage their customer relationships but lack the same understanding of and insights into their suppliers’ practices.