{"id":538392,"date":"2021-03-11T14:44:00","date_gmt":"2021-03-11T14:44:00","guid":{"rendered":"https:\/\/www.capgemini.com\/gb-en\/?post_type=press-release&#038;p=538392"},"modified":"2025-03-10T09:18:28","modified_gmt":"2025-03-10T09:18:28","slug":"research-consumer-product-companies-and-retailers-plan-to-overhaul-their-supply-chain-strategies-to-better-adapt-to-future-disruptions","status":"publish","type":"press-release","link":"https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/research-consumer-product-companies-and-retailers-plan-to-overhaul-their-supply-chain-strategies-to-better-adapt-to-future-disruptions\/","title":{"rendered":"Research: Consumer product companies and retailers plan to overhaul their supply chain strategies to better adapt to future disruptions"},"content":{"rendered":"\t\t<div class=\"wp-block-cg-blocks-hero-press-release\">\n\t\t\t<header class=\"header-hero-press-release\" role=\"main\" id=\"main-content-press-release\">\n\t\t\t\t<div class=\"container\">\n\t\t\t\t\t<div class=\"hero-press-release\">\n\t\t\t\t\t\t<div class=\"hero-press-release-content-wrapper\">\n\t\t\t\t\t\t\t<div class=\"row\">\n\t\t\t\t\t\t\t\t<div class=\"col-12\">\n\t\t\t\t\t\t\t\t\t<div class=\"header-title\">\n\t\t\t\t\t\t\t\t\t\t<h1>\n\t\t\t\t\t\t\t\t\t\t\tResearch: Consumer product companies and retailers plan to overhaul their supply chain strategies to better adapt to future disruptions\t\t\t\t\t\t\t\t\t\t<\/h1>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"header-description\">\n\t\t\t\t\t\t\t\t\t\t<p><\/p>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"header-date\">\n\t\t\t\t\t\t\t\t\t\t<span>Mar 11, 2021<\/span>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/header>\n\t\t<\/div>\n\t\t\n\n\n<section class=\"wp-block-cg-blocks-intro-para undefined section section--intro\"><div class=\"intro-para\"><div class=\"container\"><div class=\"row\"><div class=\"col-12 col-md-1\"><nav class=\"article-social\"><ul class=\"social-nav\"><li class=\"ip-order-fb\"><a href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/research-consumer-product-companies-and-retailers-plan-to-overhaul-their-supply-chain-strategies-to-better-adapt-to-future-disruptions\/\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-fb\"><\/i><span class=\"sr-only\">Facebook<\/span><\/a><\/li><li class=\"ip-order-li\"><a href=\"https:\/\/www.linkedin.com\/sharing\/share-offsite\/?url=https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/research-consumer-product-companies-and-retailers-plan-to-overhaul-their-supply-chain-strategies-to-better-adapt-to-future-disruptions\/\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-li\"><\/i><span class=\"sr-only\">Linkedin<\/span><\/a><\/li><\/ul><\/nav><\/div><div class=\"col-12 col-md-11 col-lg-10\"><h2 class=\"intro-para-title\"><strong>Paris, March 11 2021 \u2013 A new report from the <\/strong><a href=\"https:\/\/www.capgemini.com\/gb-en\/research-institute\/\"><strong>Capgemini Research Institute<\/strong><\/a><strong> examining the impact of the past year\u2019s disruption on consumer products and retail (CP&amp;R) supply chains, has found that 66% of organisations say their strategy will change significantly in the next 3 years, as they adapt to the pandemic and embed resiliency into their operations. Just 23% of consumer product organisations and 28% of retailers believe that their supply chain is agile enough to support the organisation\u2019s evolving business needs.<\/strong><\/h2><\/div><\/div><\/div><\/div><\/section>\n\n\n\n<section class=\"wp-block-cg-blocks-group undefined section section--article-content\"><div class=\"article-main-content\"><div class=\"container\"><div class=\"row\"><div class=\"col-12 col-md-11 col-lg-10 offset-md-1 offset-lg-1\"><div class=\"article-text article-quote-text\">\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><a href=\"https:\/\/www.capgemini.com\/gb-en\/research\/the-wake-up-call\/\"><strong>COVID-19 was a wakeup call for CP&amp;R companies<\/strong><\/a>: 85% of consumer products organisations and 88% of retailers say they faced disruption, while 63% of consumer products organisations and 71% of retailers say it took at least three months for their supply chains to recover from the disruptions. As a result, organisations are realigning their strategies to focus on three critical areas.<\/p>\n<\/blockquote>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-the-move-to-demand-sensing\"><strong>The move to demand sensing<\/strong><\/h2>\n\n\n\n<p>Over two-thirds of organisations (68%) say they faced difficulties in demand planning due to a lack of accurate and up-to-date information on fluctuating customer demand during the pandemic. To improve forecasting, 66% of organisations plan to segment supply chains according to demand patterns, product value and regional dimensions post pandemic, while 54% say they will use analytics\/AI-machine learning for demand forecasting to cope with the impact of COVID-19.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-visibility-becomes-critical\"><strong>Visibility becomes critical<\/strong><\/h2>\n\n\n\n<p>75% of consumer product companies faced difficulties when they needed to quickly increase or decrease production capacity due to COVID-19. To create the agility to respond to sudden shifts in demand, manufacturers can identify opportunities to improve visibility, cites the report. This can help deal with the challenge of strategic, tactical, and real-time operational decisions.<\/p>\n\n\n\n<p>Organisations understand the significance of digital investments in improving visibility. 58% of retailers and 61% of consumer product organisations are planning to increase investments in digitisation of supply chains. In particular, 47% of organisations are planning to invest in automation, 42% are planning to invest in robotics and 42% in artificial intelligence. 64% and 63% of organisations are also planning to make extensive use of artificial intelligence and machine learning across transportation and pricing optimisation respectively.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-from-globalisation-to-localisation\"><strong>From globalisation to localisation<\/strong><\/h2>\n\n\n\n<p>To prevent future disruption, organisations are recognising the importance of localisation and are actively investing. CP&amp;R organisations are shifting from globalisation to localisation of the supplier and manufacturing base. 72% of consumer product organisations and 58% of retailers say they are actively investing in regionalising or localising their manufacturing base or nearshoring production.<\/p>\n\n\n\n<p>65% of CP&amp;R companies are also investing in regionalising and localising their supplier base, rising to 83% in the UK and 73% in India. In line with these strategies, global suppliers will represent just 25% of retailers\u2019 capacity in three years\u2019 time, down from 36% today. In consumer products, global manufacturers will represent just 17%, down from 26% today.<\/p>\n\n\n\n<p>In line with the move to localisation, dark stores, which have independent operations and are closer to the delivery locations, are becoming an increasingly useful alternative for fulfilling online orders as physical footfall decreases. Earlier <a href=\"https:\/\/www.capgemini.com\/gb-en\/research\/the-last-mile-delivery-challenge\/?utm_source=pr&amp;utm_medium=referral&amp;utm_content=cprd_none_link_pressrelease_none&amp;utm_campaign=disruptdigital_cri_last-mile-distribution\">Capgemini research<\/a> showed that if deliveries from dark stores increase by 50%, profit margins could grow by 7% as a result of lower delivery costs and higher delivery throughput compared to stores (while also not affecting store operations).<\/p>\n\n\n\n<p><em>\u201cCPGs and retailers recognise the great risk of future disruption, and they have an opportunity to be in front of creating agility and resilience to adapt their supply chain networks,\u201d<\/em> says Lindsey Mazza, Global Retail Supply Chain Leader at Capgemini. <em>\u201cThe pandemic was an accelerated learning event. Organisations realise that new technologies can enable much-needed agility \u2013 from improving demand predictions, to boosting fulfilment to quicker, cost-effective last mile deliveries. By investing now, organisations put themselves in good stead to safely support consumers in their time of need \u2013 whenever the next industry disruption may be.\u201d<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-about-capgemini\"><strong>About Capgemini<\/strong><\/h2>\n\n\n\n<p>Capgemini is a global leader in partnering with companies to transform and manage their business by harnessing the power of technology. The Group is guided everyday by its purpose of unleashing human energy through technology for an inclusive and sustainable future. It is a responsible and diverse organisation of 270,000 team members in nearly 50 countries. With its strong 50 year heritage and deep industry expertise, Capgemini is trusted by its clients to address the entire breadth of their business needs, from strategy and design to operations, fueled by the fast evolving and innovative world of cloud, data, AI, connectivity, software, digital engineering and platforms. The Group reported in 2020 global revenues of \u20ac16 billion.<\/p>\n\n\n\n<p>Get the Future You Want |&nbsp;<a href=\"http:\/\/www.capgemini.com#_blank\">www.capgemini.cos<\/a><\/p>\n<\/div><\/div><\/div><\/div><\/div><\/section>\n\n\n<div class=\"wp-block-cg-blocks-cg-block-related-content\"><section class=\"relatedContentBlock\"><div class=\"container\"><div class=\"row\"><div class=\"content-title col-12 col-md-8\"><h2 class=\"related-content-heading\">Related News<\/h2><\/div><\/div><div class=\"row relatedContent\"><div class=\"col-lg-4 col-md-6 col-xs-12\">\n\t\t\t\t\t\t\t<div class=\"box\">\n\t\t\t\t\t\t\t\t<a aria-label=\"Read more about Change in the composition of Capgemini\u2019s Board of Directors proposed to the 2026 Shareholders\u2019 Meeting\" href=\"https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/change-in-the-composition-of-capgeminis-board-of-directors-proposed-to-the-2026-shareholders-meeting\/\" class=\"anchorWrapper\">\n\t\t\t\t\t\t\t\t\t<span class=\"box-tag\"><span>Corporate news<\/span><\/span>\n\t\t\t\t\t\t\t\t\t<div class=\"box-title\"><h3 class=\"box-subtitle\">Change in the composition of Capgemini\u2019s Board of Directors proposed to the 2026 Shareholders\u2019 Meeting<\/h3><\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"box-date\">\n\t\t\t\t\t\t\t\t\t\t<span>Mar 16, 2026<\/span>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"box-bottom\">\n\t\t\t\t\t\t\t\t\t\t&lt;a class=&quot;link-download&quot; href=&quot;https:\/\/www.capgemini.com\/wp-content\/uploads\/2026\/03\/03_16_26-Board-composition-vfinale_post-CA-clean.pdf&quot; aria-label=&quot;Download Press Release&quot; target=&quot;_blank&quot;  type=&quot;download&quot; title=&quot;Opens in a new window&quot;&gt;\n\t\t\t\t\t\t\t&lt;span&gt;Download press release&lt;\/span&gt;\n\t\t\t\t\t\t\t&lt;span&gt;175 KB PDF&lt;\/span&gt;\n\t\t\t\t\t\t&lt;\/a&gt;\n\t\t\t\t\t\t\t\t\t\t<a class=\"more\" aria-label=\"Read more about Change in the composition of 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class=\"box-tag\"><span>Corporate news<\/span><\/span>\n\t\t\t\t\t\t\t\t\t<div class=\"box-title\"><h3 class=\"box-subtitle\">Capgemini to acquire leading independent product lifecycle management and industrial digitalisation specialist, Piterion<\/h3><\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"box-date\">\n\t\t\t\t\t\t\t\t\t\t<span>Mar 9, 2026<\/span>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"box-bottom\">\n\t\t\t\t\t\t\t\t\t\t&lt;a class=&quot;link-download&quot; href=&quot;https:\/\/www.capgemini.com\/wp-content\/uploads\/2026\/03\/03_09_Capgemini_Piterion.pdf&quot; aria-label=&quot;Download Press Release&quot; target=&quot;_blank&quot;  type=&quot;download&quot; title=&quot;Opens in a new window&quot;&gt;\n\t\t\t\t\t\t\t&lt;span&gt;Download press release&lt;\/span&gt;\n\t\t\t\t\t\t\t&lt;span&gt;130 KB PDF&lt;\/span&gt;\n\t\t\t\t\t\t&lt;\/a&gt;\n\t\t\t\t\t\t\t\t\t\t<a class=\"more\" aria-label=\"Read more about Capgemini to acquire leading independent product lifecycle management and industrial digitalisation specialist, Piterion\" href=\"https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/capgemini-to-acquire-leading-independent-product-lifecycle-management-and-industrial-digitalisation-specialist-piterion\/\">Read more about<\/a>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div><\/div><\/div><\/section><\/div>","protected":false},"excerpt":{"rendered":"","protected":false},"author":103,"featured_media":0,"template":"","meta":{"cg_dt_proposed_to":[],"cg_seo_hreflang_relations":"[]","cg_seo_canonical_relation":"","cg_seo_hreflang_x_default_relation":"{\"uuid\":\"ef7732e8-bcd3-4809-9ca0-4f138bc35551\",\"blogId\":\"\",\"domain\":\"\",\"sitePath\":\"\",\"postLink\":\"\",\"postId\":null,\"isSaved\":true,\"isCrossLink\":false,\"hasCrossLink\":false}","cg_dt_approved_content":true,"cg_dt_mandatory_content":false,"cg_dt_notes":"","cg_dg_source_changed":false,"cg_dt_link_disabled":false,"footnotes":"","related_resource_url":"","related_resource_id":0,"related_resource_size":"","related_resource_type":"","cg_author":0,"featured_focal_points":""},"tags":[],"press-release-type":[],"brand":[],"class_list":["post-538392","press-release","type-press-release","status-publish","hentry"],"yoast_head":"<!-- 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