Intelligent CIO Middle East Issue 115 | Page 37

TALKING

‘‘ business

In many countries, one topic dominates C-suite discussions – tariffs. While larger organisations can pivot, leveraging diversified supply chains and cash reserves, smaller businesses, particularly in manufacturing, operate on slimmer margins and have less flexibility. Their advantage instead lies in agility, which, when paired with modern technology platforms such as enterprise resource planning, ERP, can enhance resilience.

The GCC has not faced the shock of tariffs, but the global uproar serves as a reminder to evaluate the crisis-readiness of regional enterprises. Gulf businesses have navigated recent global disruptions admirably, but leadership teams must ask, What if this were to happen here? Would we be ready?
While tariffs may not directly impact the GCC, regional businesses are not immune to supply chain disruptions. Geopolitical tensions and evolving trade regulations have already forced companies to adapt. The UAE and its neighbours are actively reinventing their manufacturing sectors, but smaller firms remain vulnerable to sudden cost increases and struggle to secure alternative suppliers. The result? Reduced competitiveness and shrinking market share.
Additionally, exporting to tariff-affected countries presents another challenge: retaliatory measures that diminish demand. GCC businesses could face similar setbacks if a destination market enforces new regulations or a strong competitor emerges. For instance, the recent analysis by PwC on the strategic recommendations for GCC businesses considering the US trade and tariff agenda highlights the importance of proactive adaptation.
The need to think about tariff-readiness is therefore relevant in this region. Manufacturers must plan for the next crisis, even though they cannot predict what form it will take. technologies can help GCC companies navigate unforeseen circumstances, preserve supply chain integrity, manage supplier performance, and minimise shipment delays.
At the heart of these capabilities is ERP. Modern ERP systems have comprehensively digitised supply chains, ensuring seamless information flow between manufacturers, logistics providers, and sellers. This collaboration among trading partners allows every link in the chain to access real-time supply and demand data.
This information flow is bidirectional, meaning companies can also diversify their downstream customer bases. ERP platforms often include advanced sales modules as part of full-service e-commerce solutions, featuring configure-price-quote, CPQ tools and field service capabilities that unlock new
Vibhu Kapoor, Regional Vice President, Middle East, Africa and India, Epicor
Modern solutions allow SMEs to outmanoeuvre competitors when core supply chain dynamics shift.
The answer, as ever, lies in technology. Being smaller has always had its advantages, but in the digital age, those advantages are magnified by technology’ s ability to replicate the capabilities of a larger organisation. An enterprise-grade response to unexpected events is now within reach for SMEs, where it may not have been just a few years ago. Modern solutions allow SMEs to outmanoeuvre competitors when core supply chain dynamics shift.
Technologies such as electronic data interchange, EDI and supplier sourcing portals can help smaller companies switch to alternative suppliers more easily, just as many businesses around the world are doing now to mitigate tariff impacts. These same revenue streams. At this stage, we move beyond crisis management, now, businesses are strengthening brand loyalty and planning for long-term market success.
To further reinforce supply chain resilience, businesses can invest in automation to streamline operations, offsetting potential rises in input costs. Manufacturing leaders should also assess the modernity of their manufacturing execution system, MES. Today’ s most advanced MES solutions help optimise material use while simplifying compliance and ESG programmes. Given modern society’ s emphasis on sustainability and ethics, stronger ESG credentials can also enhance brand loyalty.
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