More that half of US CEOs plan to focus on key supply chain suppliers to minimize costs and maximize flexibility and performance

More that half of US CEOs plan to focus on key supply chain suppliers to minimize costs and maximize flexibility and performance

In the year ahead, more than half of US CEOs (53%) plan to strengthen engagement with key suppliers to both minimize costs and maximize supply chain flexibility and delivery performance. This according to the PwC 16th Annual Global CEO Survey.

The report predicts more strategic alliances and partnerships in 2013 as CEOs seek to increase their companies’ ability to swiftly respond to demand changes to best ensure uninterrupted business operations. Globally, industries
most focused on supply chain engagement include industrial manufacturing (84%), consumer goods (80%), energy, oil and gas (79%) and technology (76%).

Many US CEOs (41%) are also concerned about energy and raw material costs. PwC predicts that they will be looking at how low-cost options for shale gas could impact their sourcing options, in addition to other benefits of reshoring operations to the US.

Reducing the company’s environmental footprint—much of which falls along the supply chain—is on the minds of 43% of CEOs. Sustainability could also be a benefit of reshoring as the use of low-cost and best-cost country sourcing can make it more difficult to control environmental and social risks.

More than half of US CEOs point to the availability of key skills as a potential threat to growth in 2013. With talent widely recognized as central to powering growth, more CEOs are taking action. But they don’t expect to do it alone: 68% of US CEOs said building a skilled workforce should be a top government priority.

Click here to download the full report.