Central banks worldwide have drastically raised interest rates to curb persistent inflation. While it varies by region, interest rates in key geographical areas are still rising, with EU interest rates up from -0.5% to 3.82% and the U.S. rate up to 5.15% from near zero a year ago.
This uncertain economic climate can stymie procurement’s efforts to contain costs. What can leaders do? As outlined in this GEP thought leadership piece — How Procurement Can Optimize Working Capital To Mitigate Cost Pressures — enhancing working capital management becomes key in a rising interest rate environment. The lack of proactive management can prove costly for organizations.
Procurement leaders can leverage this report’s guidance and strategic insights to boost their working capital optimization.