New data from Board International reveals that despite nearly every global business (Global: 97%; Supply chain planning professionals: 97%) executing some form of planning transformation attempt since 2020, 90% (Supply chain planning professionals: 88%) report it failing to some degree.
"With all the uncertainty that we see in the world, business leaders need to recognize a new reality: the era of continuous disruption is here. Those seven words are meant as a wake-up call for organizations to continuously adapt and find new capabilities and efficiencies to deal with today’s challenging environment. Continuous planning is an imperative, and the good news is that companies that advance their digital capabilities can steer their business at the speed of change and gain a competitive edge,” says Marco Limena, Board CEO.
From Board International:
- Just 13% (Supply chain planning professionals: 11%) said they were unaffected by events, such as COVID-19, the war in Ukraine and the cost-of-living crisis. As a result, 85% (Supply chain planning professionals: 89%) of businesses say planning is now taken more seriously across their organization; 76% (Supply chain planning professionals: 82%) have seen budgets for planning transformation and planning teams increase; and 94% (Supply chain planning professionals: 95%) are being asked for a more strategic approach to planning by their boards and / or investors.
- 90% (Supply chain planning professionals: 88%) of transformations failed for one reason or another.
- Lack of investment in skills (Global: 23%; Supply chain planning professionals: 25%) and scarcity of team resources (Global: 22%; Supply chain planning professionals: 21%) came in as second and third place, respectively, for reasons why companies are unprepared.
- Nearly all (Global: 98%; Supply chain planning professionals: 98%) of the decision makers responded that they do some of their planning on spreadsheets like Excel.
- When asked if they felt ready to cope with continued supply chain disruption (Global: 29%; Supply chain planning professionals: 26%), rising interest rates (Global: 22%; Supply chain planning professionals: 20%), another pandemic (Global: 32%; Supply chain planning professionals: 32%), or a recession (Global: 34%; Supply chain planning professionals: 35%), around a said they were not.
