The past few years have shown us how vulnerable supply chains can be. Disruptions are inevitable from global crises like COVID-19 and geopolitical tensions to localised challenges such as strikes and resource shortages.
For South Africa’s SMEs, the stakes are even higher. While demand for agile supply chains and cutting-edge technology is growing, access to funding remains a hurdle.
Genfin addresses this challenge by offering up to R5 million in unsecured business funding based on company performance—no collateral required. With the right resources, you can strengthen your supply chain and ensure it remains robust in the face of uncertainty.
Events such as the pandemic and geopolitical tensions have exposed how interconnected and fragile supply chains are. A delay in one country can ripple through the entire network, causing product shortages and missed deadlines.
In South Africa, businesses often face additional hurdles, including infrastructure challenges, strikes, and regulatory changes. These localised risks compound the pressure on SMEs to maintain a steady supply chain.
In a fast-paced, digital world, customers demand reliability. Hikes in demand are tricky to predict, and SMEs can get overwhelmed when a glowing endorsement goes viral. Failing to then deliver on time can damage your reputation and erode customer loyalty.
Understanding these challenges is the first step toward building a supply chain that can weather the storm.
Supply chain stability isn’t about eliminating risks—it’s about preparing for them.
According to the McKinsey Global Institute, companies experience a one- to two-month disruption every 3.7 years. Over a decade, this could cost up to 30% of annual EBITDA. These figures highlight the critical need for proactive risk management.
Collaborate with suppliers to develop contingency plans for potential disruptions.
2. Diversify your network:
Relying on a single supplier or region increases vulnerability. Spread your risk by sourcing from multiple locations.
3. Invest in inventory buffers:
While just-in-time inventory is efficient, having safety stock can prevent a complete halt in operations.
A resilient supply chain requires more than stability—it needs to withstand unexpected shocks. Here’s how to ensure your supply chain able to withstand changes:
Many companies fail to assess their supply chain beyond the first tier of suppliers. However, disruptions often originate deeper in the network. Conduct a thorough end-to-end assessment, examining financial health, regulatory risks, and operational capacity across all tiers.
Simulate potential disruptions, such as a key supplier shutting down or a sudden spike in demand. Evaluate how quickly your supply chain can recover and address weaknesses revealed during these tests.
To truly future-proof your supply chain, you must invest in adaptability and innovation. The three key steps to take to future-proof your supply chain are:
Digital transformation could be the key to ensuring your business keeps up with the competitive market.
Internet of Things (IoT): Equip machinery with sensors to track performance and predict maintenance needs, reducing downtime.
Automation: Use process automation to handle repetitive tasks, freeing up manpower for more strategic roles.
AI and Analytics: AI can identify inefficiencies and predict disruptions, enabling better decision-making.
Enhanced Visibility: Tools like digital freight matching and real-time tracking improve transparency across the supply chain.
Learn more about how to undergo digital transformation with our guide to digital transformation for businesses
Nearshoring: Working with suppliers closer to home can reduce shipping delays and improve control.
Local Sourcing: Supporting local suppliers not only strengthens regional ecosystems but also improves sustainability and reduces carbon footprints
Leaders: Create a pipeline of leadership candidates to fill critical roles during sudden departures.
Cross-train: Invest in cross-training employees to handle various tasks, making your workforce more adaptable to change.
Upskill: Regular training ensures your team stays updated on the latest tools and processes.
Strengthening your supply chain often requires substantial investment in technology, infrastructure, and training. For many SMEs in South Africa, securing the necessary funding can be a barrier. That’s where business funding comes in.
Fast and flexible funding:
With GENFIN’s unsecured loans, SMEs can access up to R5 million without the need for collateral. This allows businesses to act quickly on opportunities or address vulnerabilities.
Streamlined application process:
All you need is 12 months of bank statements to apply. Receive an offer within 24 hours, enabling you to take immediate action.
Future-proofing your supply chain is no longer optional—it’s a strategic necessity. By investing in technology, diversifying suppliers, and building a skilled workforce, you can create a resilient and agile supply chain that withstands disruptions.
GENFIN is here to support you every step of the way. With our business funding solutions, you’ll have the resources you need to build a supply chain that powers your success.
Apply online today and take the first step toward a stronger, more resilient future.
Let us help you get it done
Genfin’s business funding solutions empower SMEs with fast and affordable loans. Get started with only 12 months’ bank statements. Apply ONLINE. Receive an offer in 24 hours.
“All I can say about Genfin is, wow!!! The process was so quick and easy. We look forward to a long and wonderful relationship.” ~ Andrew Benting
Here’s what South Africa’s SMEs say about working with Genfin. Read reviews
Release up to R5 million with a 90-day repayment grace period.
