Amid uncertainty, companies express need for heightened service and predict economic turnaround

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On April 21, BDP International conducted a virtual regulatory event for a wide array of companies from multiple industries and multiple countries.

Prior to beginning the informational sessions, our team sought to understand the overall mindset of companies as it relates to the current external factors like COVID-19, tariffs, the global economy, etc. As such, we conducted an anonymous polling session among our event attendees, and the results shed some light on how companies are perceiving present challenges and how they anticipate future ones. 

Out of 100 attendees who provided feedback, 66% of respondents felt that a global recession is underway, and it is noteworthy that this applies to a global outlook, not just a US recession. 

An important issue that repeatedly remains a top priority for companies is the heightened customer service level that is expected for every order. Now more than ever, businesses seek and perhaps demand the highest level of service to help mitigate market challenges. 

69% of respondents expressed concerns with meeting customer demands, whether due in part to issues at the sourcing point or with their suppliers. Of course, issues at supply points will cause a ripple effect in the global chain by placing exaggerated stress points on meeting customer expectations. 

Surprisingly, not all companies are feeling the same pressures and downturns as others with the current state of disruption. 12% reported no major interruptions, 5% reported no impact to their revenues for the year, and 2% reported an increase in revenues for the year. While these numbers are low, it is important to note that some businesses are meeting challenges and even thriving in the middle of the COVID-19 crisis.

How long will this impact be felt? According to our respondents, 38% placed their bets that within the year things will start to turn around from a financial standpoint. 28% of the companies were not sure, 23% told us that within six months things will change for the better, and finally some companies and stated that a 2-year period is more likely for a turnaround.

Rest assured that we at BDP will be closely monitoring all developments and will seek to mitigate disruptions for our customers no matter what the duration of this “uncertain” period is. We will continue to keep you informed and updated to keep your business moving.