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Tackling Currency Fluctuations in 2016’s Supply Chains

Spend Matters welcomes this guest post from The Smart Cube.

The procurement function, by nature, is heavily impacted by FX volatility, especially in the case of companies that operate complex international supply chains. Even for companies that enter into contracts solely in their local currency, foreign suppliers typically factor in currency risk in contracts. Further, due to lack of FX volatility management, companies may miss cost-saving opportunities when exchange rates move in their favor. Thus, it has become vital for corporations to adopt robust FX management techniques to navigate such scenarios.