ESG can sometimes seem theoretical to businesses battling with short term issues. Global warming is becoming one of those issues demanding our attention.
The environmental impact of global warming will massively impact supply chains with the Panama Canal and other key waterways already suffering some of the lowest water levels since the turn of the century.
The impact of restrictions on the use of these key waterways will, on their own, transform global trade creating a need to source closer to customer demand or more expensive routing of shipments.
This rebuilding of networks of supply in Europe and the America’s comes at a cost. We have already seen a geographical shift from China to other Asian countries with subsequent impacts on supply chains and increased inventory levels.
In an interview with CNN, Kamala Raman, Gartner's Vice President and Team Manager at Gartner’s logistics, customer fulfilment and network design at Gartner summed up the situation well. “There will always be unknown risks, and there are known risks,” she told CNN. “If you want to be resilient, you’ve got to know what a Plan B is.”
So what is your plan B for the financial remodeling of your supply chain?
Here at Crossflow, we collaborate with the world's largest financial institutions enabling accessing to funding, and in turn we work with our corporate clients to increase the robustness of their supply chains by harnessing that working capital through our working capital marketplace.
It would be great to hear your thoughts and please message the team at Crossflow if you would like to discuss how are working with our corporates on securing their suppliers, back by some of the worlds largest financial institutions.
Magda Rozczka is CEO at Crossflow. After completing her postgraduate MBA, Magda led product development within the insurance sector at ING and Zurich. Magda represents Crossflow on the Bank of England Decision Maker Panel, which influences UK interest rates, and has represented Crossflow as part of HM Treasury’s Women in Finance initiative.