SUPPLIER RELATIONSHIP MANAGEMENT
Understanding strategic partnerships in supply chains Strategic partnerships in supply chains are characterised by several defining features that distinguish them from traditional business relationships.
Strategic alignment on common objectives forms the foundation, whether organisations are working towards reducing lead times or achieving sustainability goals. Open communication is also vital, enabling partners to work seamlessly together – sharing risk and cost, involving both parties in joint planning and performance improvements.
The benefits of these partnerships are extensive, with partners gaining access to new markets, technologies and expertise while improving quality and consumer satisfaction. A culture of resilience is then encouraged by diversifying suppliers, utilising real-time data and benchmarking against industry standards. Energy resilience, for example, has emerged as a critical priority, with 89 % of companies experiencing energy disruptions in the past year according to the Prologis report. Looking ahead, 83 % foresee energy reliability as the next major supply chain crisis, with 71 % citing rising power demands due to AI implementation.
How strategic relationships are developed and maintained The formation of these partnerships follows a structured process that begins with supplier identification and evolves into ongoing collaboration.
126 February 2025