Afternoon Coffee: Rush back to restaurants straining food supply chain; Covid surges in Asia worry experts on US inflation; PRO recap: Anaplan, Siemens acquires Supplyframe, and Agiloft vs. Icertis

Adobe Stock

Americans are returning to restaurants as COVID-19 cases fall and vaccination rates rise, but it’s added new strains onto the food supply chain, according to the Wall Street Journal.

Suppliers and other logistics managers say that distributors are seeing shortages of everyday products like chicken, but also difficultly in finding workers. Shortages of certain raw materials are leading to erratic deliveries for items that usually arrive predictably as well.

Supply chain experts are saying what’s happening in the food sector is the bullwhip effect, where companies that pulled back operations seek to rapidly scale up with signs of improving demand, leaving suppliers scrambling.

How do you find the right procurement technology and vendor for your company? Spend Matters’ new 5-step “Procurement Technology Buyer’s Guide” can help — with how-to documents, checklist templates and other tips.

“Over the last six weeks, we have seen the market come roaring back faster than anybody would have anticipated,” Mark Allen, chief executive of the International Foodservice Distributors Association, told the WSJ. “The start up has been, in many ways, as difficult as the shutdown. … Everybody is trying to turn it on immediately and the capacity might not be there.”

Covid surges in Asia worry experts on US inflation

New waves of COVID-19 cases in manufacturing hubs in various Asian countries might hit global supply chains, raising concerns that inflation could rise quicker in the US, according to CNBC.

Richard Martin, managing director of IMA Asia, said the increase in infections has coincided with high demand for goods from the US and China that has contributed to a “really fast rise” in factory-gate prices in East Asia. Martin warned that any “glitch” in global supply chains could result in “a big push up in inflation.”

In response, the Federal Reserve may have to hike interest rates sooner than expected. “I think by the end of this year, the Fed is really going to have to lift its policy rate. Now that’s far sooner than the Fed’s been talking about, generally it says it’s a year or two down the road before it’s going to lift its policy rate,” Martin told CNBC.

Spend Matters' analysts look at Anaplan, a Siemens acquisition, and Agiloft vs. Icertis

This week, Spend Matters PRO analyst Michael Lamoureux provided a two-part vendor analysis of Anaplan’s spend analytics offering. Also, analysts Pierre Mitchell and Jason Busch gave a rapid analysis of Siemens’ acquisition of Supplyframe. Finally, analyst Nick Heinzmann delved into a head-to-head analysis of Agiloft and Icertis in the contract lifecycle management market using SolutionMap Spring 2021 data.

Our PRO subscribers can read the full articles, but all readers can see the lengthy intros that frame the issues being discussed. This week:

Read more about a PRO membership.

The Spend Matters global monthly newsletter for May goes out soon! Are you on the list? Don't miss out for 2021!

Share on Procurious

Discuss this:

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.