FINANCE & SPEND Planning for disruption When it comes to building a cost-reduction strategy that doesn’ t collapse the moment a major disruption hits, David says procurement must“ choose resilience over efficiency when building your supply chain”. A global supply chain disruption usually creates both operational and financial risks. An organisation that reacts to disruption by shifting suppliers, sourcing from new regions, or renegotiating contracts can unintentionally create new currency exposures.“ I’ ve seen situations where procurement teams negotiate significant cost improvements, only to see those gains offset by currency volatility,” says David.
“ A resilient cost-reduction strategy requires procurement and treasury to work closely together, ensuring that supplier choices, contract structures and hedging strategies align from the outset.” Supply chains built strictly for normal, sunny-day trading often encounter friction when unexpected market shifts occur. A sustainable approach balances everyday efficiency with flexibility, ensuring organisations remain resilient and prepared for stormy weather.“ I believe in having a plan before volatility hits. Organisations that identify risks and response options ahead of time tend to perform better than those that react in real-time.
76 October 2026