A survey by Gartner showed that senior business executives in supply chain intensive industries believe that cost optimization is the main issue that chief supply chain officers (CSCO) should focus on in the future, followed by supply chain resilience.
As CSCOs start to navigate linger effects caused by the Coronavirus disease (COVID-19) pandemic, Gartner suggests that they prepare for the growth agenda CEOs have in mind for the future. According to the survey, 60% of CEOs expect an economic boom to start by the end of 2022.
“CEOs are tasking their CSCOs to focus on navigating through the ongoing disruption and ensure business continuity,” said Thomas O’Connor, senior director analyst with the Gartner Supply Chain practice. “This includes dealing with pandemic-related lockdowns in key markets, supply chain shortages – as seen in the semiconductor industry – and challenges with the global flow of goods and increasing distribution costs.”
Per Gartner:
- The majority of respondents want to focus on technology, and they plan to increase year-on-year investments in digital capabilities (80%). The trend appears to be shifting from a general, undefined ambition for digital business transformation toward more targeted initiatives. CSCOs need to confirm their CEOs’ intended meaning of digital business within the context of their own organization or industry.
- CEOs anticipate the pandemic will have a lasting impact on their businesses, with over two-thirds of survey participants indicating they will use the pandemic as an opportunity to focus on redesigning the business.
