In supply chains in African businesses, the challenge is not big data, as in developed countries, but simply data itself. While striving for increased visibility, African companies’ goals remain focused on the internal organisation rather than suppliers and customers.
A number of key Supply Chain Issues
1. Demand Planning
Difficulty in forecasting demand, dealing with fluctuating costs and often depreciating currencies, results in a fragile domestic supply chain.
2. Counterfeit and Parallel Imports & Corruption
Counterfeit and parallel imports remain a major concern in many markets, while a number of countries struggle with high levels of bribery and corruption.
3. Supply Chain Risks
Ever evolving risks ranging from conflicts to terrorism lead to major disruptions in the supply chain where risk in one area can easily affect the whole supply chain.
4. Territory & Road Infrastructure
Lack of infrastructure results in poorly connected markets.
5. Lead Times
Landlocked countries are particularly impacted where the lead times are significantly longer.
Overcoming these challenges requires patience and a continuous improvement mindset, where organisations need to be willing to invest in people and to take time to understand the market conditions at hand.
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This is an extract taken from our full Key Issues in Logistics & Supply Chain guide.
Many thanks to Supply Chain Lab for contributing this guide.