Leading causes of supply chain issues in Central Europe in 2022
Since the COVID-19 pandemic, supply chains across the globe have suffered significant disruption with Europe being no exception. In a market with approximately 150 million more people than the United States, for sectors such as e-commerce it is vital that supply chains operate with as little disruption as possible. The situation is also exacerbated by the continuation of the war in Ukraine, where the transportation and commerce industries have suffered a total of 47 billion U.S. dollars’ worth of damage.
According to the 2022 study conducted by Deloitte, 43 percent of surveyed CFOs in Central Europe said that the increase in prices for commodities had severely affected supply chains. This widespread issue, combined with problems in the delivery of final goods make up the vast majority of all severe supply disruption causes.
Since 2022, 56 percent of companies in Central Europe have been increasing collaboration with suppliers as a means of combating supply chain issues. This strategy means that around a third of companies that responded feel that the current situation will improve in 2024 or later. Companies have also implemented strategies such as increasing local procurement and the increased use of digital tools to deal with their respective supply chain issues. Whichever solution companies across Central Europe implement, the supply chain situation may improve, but disruption will continue.
The current situation.
According to the 2022 study conducted by Deloitte, 43 percent of surveyed CFOs in Central Europe said that the increase in prices for commodities had severely affected supply chains. This widespread issue, combined with problems in the delivery of final goods make up the vast majority of all severe supply disruption causes.
What are the solutions?
Since 2022, 56 percent of companies in Central Europe have been increasing collaboration with suppliers as a means of combating supply chain issues. This strategy means that around a third of companies that responded feel that the current situation will improve in 2024 or later. Companies have also implemented strategies such as increasing local procurement and the increased use of digital tools to deal with their respective supply chain issues. Whichever solution companies across Central Europe implement, the supply chain situation may improve, but disruption will continue.
