Page 8 - BOSS Today Issue 54

BOSS Today #54

experience. Ensuring up to date and A couple of panellists also commented
attractive content – as well as real time on another financial challenge – that
data on stock availability, together with of constrained working and investment
realistic pricing – is very important to capital, with Drakeford noting that “with
protecting your existing customers and Covid support repayments beginning
gaining new ones.” to kick in and with a keener focus on
our industry’s debt profile, cash to fund
Challenges growth or strategic shift will become a
When asked to consider the key challenges key challenge.”
expected in 2022, many of the panel Two panellists expected challenges in “[with] end users shopping
cited continued supply chain issues, staff recruitment and retention, with around due to availability
including Drakeford: “It is unlikely that Haworth focusing on “getting good
there will be a quick return to the relative talent to enter our sector and stay” and price, we need to keep
‘smooth’ running of operations that the and Wilkinson urging employers to find real on pricing at all points
sector enjoyed pre-pandemic. This will creative ways to attract and support in the supply chain.”
put pressure on most parts of the supply employees: “We need to make sure our
chain as they attempt to balance driving workplaces offer hybrid/flexible working Jeanette Bresitz,
up customer satisfaction to aid retention, models, with plenty opportunities for Managing Director,
with the need for an ongoing focus on colleagues to meet and work together as Office Friendly
operational efficiency.” Wilkinson believed well as grow and develop their careers.”
that one solution to this was that “working In addition, Bresitz noted the difficulties
with proven suppliers and vendors to of “bringing new products and services
ensure you have the stock you need will to market fast enough, with the right
be important. Leading vendors like ACCO support and data to sell effectively –
are working very hard to ensure we can whether that be online or through more
support the market with good availability traditional sales methods.”
and solid supply chain support to help Finally, given the above, it is
resellers maximise their opportunities.” perhaps unsurprising that all of the
Indeed, Howarth forecast that the panellists expected there to be further
“macroeconomic/supply chain challenges consolidation within the industry in 2022,
will be a catalyst for positive change and accompanied by the continued evolution “Even with a recovery
progress.” of business models. However, Wilkinson in revenues, the margin
The other key challenge highlighted by summed up an overall positivity about the
most of the panel was the industry’s ability next 12 months: “If there is any further pressures on all areas of
to digest – or pass on – the significant COVID-related disruption, then it is likely the supply chain will be a
upward price pressure expected in the we will see consolidation. Resellers will
costs of raw materials, container supply, need to continue to be agile, but working key challenge for the next
component shortages, labour, energy from home and the ‘two site’ opportunity 12 months.”
and distribution. As Drakeford explained, of hybrid working and the return to the
“Even with a recovery in revenues, the workplace will all offer opportunities Simon Drakeford,
margin pressures on all areas of the supply for those resellers who are dynamic and CEO,
chain will be a key challenge for the next proactive. I fundamentally believe 2022 EO Group
12 months.” will be more positive for the market than
Part of such margin management is the last two years have been.”
of course pricing policy, and as Bresitz The storm, it seems, may not be over,
pointed out, with “end users shopping but it may well be passing.
around due to availability and price, we
need to keep real on pricing at all points Martin Wilde – the author of this article - is
in the supply chain, question whether Managing Director of OP market research
RRPs still have a place in the pricing specialists Martin Wilde Associates Ltd
mechanisms and delight on service at (www.martinwildeassociates.com).
EVERY opportunity.”

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