What's Happening?
The 2025 Global Supplier Relationship Management (SRM) Research from State of Flux reveals that suppliers are crucial in delivering customer experience (CX) in manufacturing. Despite their importance,
only 6% of organizations have mature SRM capabilities, leading to inefficiencies and missed opportunities. The report suggests that businesses should focus on building internal SRM frameworks, measuring supplier contributions to CX, and embracing supplier-led innovation to enhance operational resilience.
Why It's Important?
The findings underscore the need for manufacturers to prioritize supplier relationships as a strategic asset. Effective SRM can drive innovation, trust, and measurable business advantages, ultimately improving customer satisfaction and competitive positioning. Organizations that fail to manage these relationships risk inefficiencies and losing out on potential value creation. As procurement shifts from cost-cutting to value-driven strategies, the role of suppliers in shaping CX becomes increasingly significant.
What's Next?
Manufacturers are encouraged to strengthen SRM foundations by developing capability frameworks and governance structures. By reframing success metrics to focus on supplier contributions to CX, businesses can close gaps in customer experience and operational resilience. Embracing supplier-led innovation will be key to achieving long-term value and competitive advantages in the manufacturing sector.
Beyond the Headlines
The report highlights a cultural shift in procurement practices, moving towards collaboration and innovation rather than transactional relationships. This change could lead to more sustainable and resilient supply chains, fostering long-term partnerships and driving industry-wide improvements in customer experience.
