**London**: Supply chain disruptions continue to challenge SMEs in 2025 due to the Russia-Ukraine war and COVID-19 effects, prompting experts to advocate for agility, real-time visibility, and enhanced supplier relationships to navigate this turbulent landscape successfully.
Supply chain disruptions continue to pose significant challenges for small and medium-sized enterprises (SMEs) in 2025, exacerbated by factors such as the ongoing effects of the Russia-Ukraine war and intermittent COVID-19 lockdowns in China. These worldwide bottlenecks are negatively impacting operations and profits, with SMEs feeling the brunt of these challenges. The situation has led to ongoing shortages, delays, and price instability that threaten the viability of many businesses.
In a warning that has grown increasingly relevant over the years, Neil Boulton, Client Partner at Publicis Sapient, indicated back in 2022 that “Supply chain disruptions will continue to impact organizations deep into 2023.” This observation holds true as we progress into 2025, particularly for SMEs where even a slight delay in shipments can erode trust and revenue swiftly.
However, there are experts who perceive potential opportunities amid the obstacles. Adem Adil, SAP ANZ Head of Digital Supply Chain, emphasised the importance of agility in procurement and supply chain management. He stated that SMEs may not have the muscle to compete with larger entities, but they can leverage their ability to adapt quickly to market changes.
A focus on visibility within the supply chain is seen as crucial to mitigating disruptions before they escalate. Dr. Deborah Pike, Principal Supply Chain Solutions Consultant at Anaplan, highlighted the importance of “transparent, real-time visibility throughout the network,” which she believes can facilitate quick decision-making. This real-time tracking is critical for effective operations and inventory management, as illustrated by Sascha Ambrose, Tableau ANZ Country Manager and Salesforce AVP, who noted that “organizations are facing some of the worst supply chain disruptions in 50 years.”
As technology becomes an integral part of supply chain management, it is described as a survival tool rather than a mere convenience. John Fargher, Co-Founder of AgriWebb, remarked that “Using tech to manage complex supply chains isn’t new—it’s proven.” This reliance on technology helps SMEs track assets and streamline processes effectively through tools like predictive analytics and demand planning software.
Financial management has also become a pivotal concern, with the traditional just-in-time inventory approach now regarded as unfeasible. Ryan Williams, Director at the Australian Centre for Business Growth, remarked that companies are moving away from just-in-time systems, opting instead for bulk orders to secure better prices and supply reliability. However, he cautioned against stockpiling, urging businesses to balance stock buffer needs with smart depletion strategies.
Additionally, maintaining strong relationships with suppliers has emerged as a competitive advantage. Williams pointed out that “organizations that pay on time and achieve the trust of suppliers perform better.” Diversifying suppliers to mitigate risk is also essential, with Lee Scott, GM Strategic Procurement at Leading Edge Retail, advising businesses to “spread your risk—source from multiple regions and have backup suppliers.”
Effective communication with customers has gained importance, especially during delays. Kristyn Wallace, VP APJ at Emarsys, stressed that “retailers need to over-communicate with consumers,” suggesting that constant updates can foster consumer trust. Jonathan Ryan, Head of ANZ Region at Infobip, proposed employing an omnichannel strategy for communication to ensure consumers remain informed.
The inevitability of disruptions is a reality that businesses must accept, according to various experts. Adil posited that “the businesses that plan for disruptions and respond quickly will be the winners.” Cybersecurity has also become a pressing concern, as Mick McCluney, Technical Director ANZ at Trend Micro, emphasised the need for investment in supply chain security amidst rising ransomware and cyber threats.
In conclusion, the supply chain landscape for SMEs in 2025 remains fraught with challenges and uncertainties. However, by embracing technological advancements, improving supplier relationships, and prioritising effective communication strategies, SMEs can find pathways to navigate these turbulent conditions successfully. As Williams encapsulated, “meaningful growth happens when companies stay nimble in constrained supply conditions.”
Source: Noah Wire Services
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