GT Nexus: Brexit could bring new levels of supply chain risk
As the 23rd of June draws ever near, a number of different UK businesses have publically come down on either side – notably low-cost airline Ryanair for the Remain campaign and pub chain JD Wetherspoon for Leave.
Boris Felgendreher, Senior Director of Marketing EMEA at GT Nexus has warned in a recent statement that Brexit could inject new levels of risk into UK supply chains.
“Amidst the ongoing political war of words between the Brexit and Bremain camps, the clear concern of the business community has been stability – specifically ensuring the stability of commerce throughout any changes that may arise.
“Threats to labour, technology, finance and even skills and training have all been examined: but one issue has yet to be fully explored – the movement of physical goods and the changes to any supply chain networks that may occur as a result of a decision by Britain to leave the EU.
“A Brexit - like any other socio-economical-political change - could bring new levels of risks, challenges and friction to global trade. Simple transactions which would otherwise be carried out simply may get more complex and cause uncertainty, for example the release and payment of goods.
“Organisations may incur excess costs, shipment delays and more custom/border patrolling. These could all inject more risk into the supply chain. Organisations should prepare for all circumstances should they arise. Those with a hard wired supply chain will suffer more than those based on a network – which can be more responsive and agile.”
GT Nexus runs on-demand supply chain management software platforms for a variety of sectors – we spoke to Diane Palmquist about the future of manufacturing supply chains in a recent issue.