The last week has seen a lot of coverage in various purchasing media about the merits of sourcing within the UK. It may be that the weak sterling has forced a few hands, but it is good news for the UK economy when leading organisations are now considering UK suppliers ahead of overseas competitors.
Ernst and Young’s ‘Opportunity in adversity, responding to the crisis’ study has shown that a percentage of global companies are broadening their supplier base to compensate for any supplier failures, whereas many others have reduced their supplier numbers to obtain better deals. Whichever the strategy it would seem that sourcing locally is being considered as a somewhat safer option in the current climate.
Lord Mandelson’s calls for all public procurement initiatives to provide UK-based companies the opportunity to compete further supported this, alongside MP’s calls to instate a Purchasing Minister. The emphasis on procurement and the benefits it can bring to the economy are clearly being realised and placed as high priority.
