It's not easy being a supplier. The customer may be king, but when change comes knocking at the pace it did in 2017, it can be hard to keep up. From the retail apocalypse to a renewed focus on terms of payment, suppliers felt market dynamics especially closely this year.
It's not just about logistics, either. Strong economic indicators led consumer confidence and market demand to grow steadily in 2017, filling up orderbooks. And as demand rises, production timelines and payment schedules often shift, too. If a supplier seems overwhelmed, it could well be because the middle market often feels economic effects first.
So how are companies adjusting to this shift? A look back at our top procurement stories of 2017 shows mixed results. Some companies are opting to work more closely with their suppliers, while tensions are rising for others.
Below, a few of our readers' favorite case studies from 2017:
-
Toys R Us owes suppliers more than $200M, may not be able to repay
The toy retailer filed for Chapter 11 bankruptcy in September, leaving suppliers in the lurch. Read More >>
-
Westinghouse, Toshiba fallout spreads to supplier community
It's a far too familiar story: Buyer bankruptcies causes suppliers to suffer as creditors take priority in payment hierarchies. Read More >>
-
Demand for construction supplies soars after Hurricane Harvey
Thomas Index data provides a unique understanding of market mechanics after hurricanes, which was not available prior to the recent storms. Read More >>
-
LTL carrier sues Amazon Fulfillment over contract breach, 'bullying'
Aggressive tactics and unapproved contract changes are commonplace when smaller companies partner with high-volume buyers, but illicit nonetheless. Read More >>
-
Uniqlo strives for higher sustainability model after controversy
After being named and shamed for labor violations within its supply chain, Uniqlo's new sustainability report promises a closer eye on suppliers. Read More >>
-
How Tesla worked with suppliers to scale production from hundreds to 50K
Once a small manufacturer unable to secure parts, Tesla is now convincing suppliers to move production nearby. Read More >>