Close Menu
  • Home
  • Market News
    • Crude Oil Prices
    • Brent vs WTI
    • Futures & Trading
    • OPEC Announcements
  • Company & Corporate
    • Mergers & Acquisitions
    • Earnings Reports
    • Executive Moves
    • ESG & Sustainability
  • Geopolitical & Global
    • Middle East
    • North America
    • Europe & Russia
    • Asia & China
    • Latin America
  • Supply & Disruption
    • Pipeline Disruptions
    • Refinery Outages
    • Weather Events (hurricanes, floods)
    • Labor Strikes & Protest Movements
  • Policy & Regulation
    • U.S. Energy Policy
    • EU Carbon Targets
    • Emissions Regulations
    • International Trade & Sanctions
  • Tech
    • Energy Transition
    • Hydrogen & LNG
    • Carbon Capture
    • Battery / Storage Tech
  • ESG
    • Climate Commitments
    • Greenwashing News
    • Net-Zero Tracking
    • Institutional Divestments
  • Financial
    • Interest Rates Impact on Oil
    • Inflation + Demand
    • Oil & Stock Correlation
    • Investor Sentiment

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

What's Hot

Recruiters to Job Searchers: Don’t Act Like AI, Even If Use It

July 26, 2025

Twitch CEO’s Day in the Life, From 5-Mile Run to Late-Night Livestream

July 26, 2025

Oil Prices Hit 3-Week Low Amid US and China Economic Woes, ETEnergyworld

July 26, 2025
Facebook X (Twitter) Instagram Threads
Oil Market Cap – Global Oil & Energy News, Data & Analysis
  • Home
  • Market News
    • Crude Oil Prices
    • Brent vs WTI
    • Futures & Trading
    • OPEC Announcements
  • Company & Corporate
    • Mergers & Acquisitions
    • Earnings Reports
    • Executive Moves
    • ESG & Sustainability
  • Geopolitical & Global
    • Middle East
    • North America
    • Europe & Russia
    • Asia & China
    • Latin America
  • Supply & Disruption
    • Pipeline Disruptions
    • Refinery Outages
    • Weather Events (hurricanes, floods)
    • Labor Strikes & Protest Movements
  • Policy & Regulation
    • U.S. Energy Policy
    • EU Carbon Targets
    • Emissions Regulations
    • International Trade & Sanctions
  • Tech
    • Energy Transition
    • Hydrogen & LNG
    • Carbon Capture
    • Battery / Storage Tech
  • ESG
    • Climate Commitments
    • Greenwashing News
    • Net-Zero Tracking
    • Institutional Divestments
  • Financial
    • Interest Rates Impact on Oil
    • Inflation + Demand
    • Oil & Stock Correlation
    • Investor Sentiment
Oil Market Cap – Global Oil & Energy News, Data & Analysis
Home » How Procurement Leaders Can Navigate Tariff Volatility
Supply & Disruption

How Procurement Leaders Can Navigate Tariff Volatility

omc_adminBy omc_adminMay 6, 2025No Comments7 Mins Read
Share
Facebook Twitter Pinterest Threads Bluesky Copy Link


As tariffs change and supply chains shift, procurement leaders are racing to adapt. In this Q&A, Dharani (DJ) Jeyaprakasam, Principal Solutions Architect at ORO Labs, shares how procurement orchestration can help companies streamline supplier onboarding, manage risk, and stay compliant as they navigate an increasingly volatile trade environment.

What’s Related

Supply Chain 24/7: What are you hearing from procurement leaders about these on-again, off-again tariffs?

Dharani Jeyaprakasam: Procurement leaders are increasingly frustrated by the pace and unpredictability of tariff shifts. These changes are often announced with little warning, and many teams still rely on fragmented systems and manual workarounds to respond, leading to slow reactions, inefficient decisions, and missed sourcing opportunities.

According to a recent Hackett Group report, 100% of organizations are actively monitoring cost models and scenario plans to stay ahead of volatility. But monitoring alone isn’t enough anymore. We’re seeing leaders turn to orchestration platforms that provide more control, with centralized supplier data, automated responses, and workflows that can be triggered the moment conditions change. The organizations adapting fastest are those that accept volatility as the new normal and build their operations to move with it.

 

SC247: How are companies adapting their procurement strategies as country-specific tariffs come into play?

DJ: Country-specific tariffs are forcing a major reset in how procurement teams structure their supply networks. We’re seeing a clear move toward regionalization, with companies actively investing in alternative sourcing across India, Vietnam, Mexico, and other lower-risk geographies. 

Dharani Jeyaprakasam of ORO Labs.

To keep pace with policy changes, procurement leaders are relying on orchestration tools that analyze tariff impacts by supplier, geography, and category in real-time. That visibility allows teams to act quickly, whether it’s rerouting a purchase to a lower-tariff region, flagging contract risks, or automatically rerouting workflows. We’re seeing more teams design their systems to act the moment policies change, so instead of scrambling, they execute predefined playbooks that adjust sourcing routes, pricing, and contracts automatically. 

SC247: Are you seeing more reshoring or nearshoring efforts? If so, which sectors are leading the charge?

DJ: Absolutely. We’re seeing this acceleration particularly across electronics, automotive, and life sciences as these sectors have high exposure to tariff-sensitive imports and long lead times, making them ripe for reshoring and nearshoring moves.

SC247: How does procurement orchestration help companies respond more quickly to policy shifts?

DJ: Procurement orchestration functions as a strategic command center, enabling companies to respond to trade and policy changes with unprecedented speed and precision.

When a new tariff is introduced or trade policies shift, orchestration software automatically detects the impact on costs, flags affected contracts, and triggers predefined workflows to realign sourcing strategies. These changes cascade instantly across the organization—no retraining, no delays.

This real-time adaptability is proving critical, especially amid the growing trend of nearshoring. Companies aren’t just relocating operations closer to home—they’re using orchestration to make those shifts executable. You can’t pivot to a new supplier in Mexico or Vietnam if your onboarding process still takes three months. Orchestration compresses those timelines—what once took months now takes days.

“Compliance now has to move at the speed of policy.”

The value isn’t just in getting ahead of disruption; it’s in the ability to move the moment it happens. Procurement orchestration transforms reactive chaos into coordinated, repeatable responses. And in a world where every delay incurs cost, that kind of agility delivers measurable advantage.

SC247: Compliance is always a concern during major trade changes. What tools or processes are helping companies stay compliant?

DJ: Compliance now has to move at the speed of policy. That’s why more procurement teams are building business rules directly into their workflows. According to The Hackett Group, half of the companies are already using automation, like rule-based tools, to enforce
tariff compliance and apply cost policy updates in real time.

Instead of relying on after-the-fact audits or retraining, these systems update automatically. When the new rules immediately govern a tariff policy change, every transaction that follows is affected. There’s no room for interpretation errors or lag time. Compliance isn’t something you check at the end of the process anymore. It’s baked into how the process runs from the start.

SC247: How are procurement teams managing risk while also trying to reduce cost exposure from tariffs?

DJ: Procurement teams are managing risk by eliminating the lag between risk detection and response. In today’s volatile tariff environment, the cost of delay is measurable and steep. Manual reviews and reactive renegotiations simply don’t cut it anymore.

Instead, procurement teams are using orchestration tools to continuously track supplier geography, logistics cost trends, and contract exposure. When risk thresholds are met, like a tariff spike or a policy shift, the system automatically triggers the next steps, whether rerouting an order, launching a new supplier search, or escalating a contract review. The Hackett Group found that half of companies are already renegotiating supplier agreements or front-loading inventory to stay ahead of disruption – and the ones responding fastest aren’t doing it manually, they’ve built risk response into their workflows.

“In today’s volatile tariff environment, the cost of delay is measurable and steep. Manual reviews and reactive renegotiations simply don’t cut it anymore.”

SC247: For companies just beginning to rework their sourcing strategies in response to tariffs, what’s the first step you recommend?

DJ: Start by building full visibility into what you already have, because you can’t improve what you can’t see.  Cost modeling and contract exposure analysis are the foundation for all tariff resilience strategies. You need to know your total landed cost structure before you can pivot effectively.

From there, implement simple rule-based workflows to automate contract changes, supplier rerouting, or price index adjustments. Don’t try to overhaul everything at once. Focus on high-impact categories first, where volatility hits hardest. The goal isn’t to create a perfect system; it’s to create one that can move quickly and adjust often.

SC247: What are the biggest misconceptions companies have about switching suppliers or reshoring production?

DJ: One common misconception is that switching suppliers or reshoring production is always slow, disruptive, or risky. But with the right systems in place, the process can be far smoother than most teams expect.

Orchestration platforms help by embedding supplier rules directly into the buying process. Buyers don’t need to change their day-to-day behavior – they’re presented with updated, compliant options that reflect the company’s current sourcing strategy. It’s not about retraining teams. It’s about redesigning the infrastructure so the right decisions happen by default.

Cost is another area where assumptions can be misleading. Many companies still believe that reshoring will be prohibitively expensive. But once you account for freight volatility, tariffs, and supplier risk, the numbers often tell a different story. Orchestration tools surface those tradeoffs in real time, giving teams the visibility they need to make confident, data-backed decisions.

SC247: Looking ahead, how should procurement leaders be thinking about long-term strategy in a world of recurring trade policy shifts?

DJ: The most forward-thinking teams are moving from prediction to preparedness. You can’t forecast every new tariff or policy change, but you can build a sourcing function that doesn’t stall when one lands. Today’s climate favors companies that treat volatility as a constant, not an exception. Procurement leaders should ask: Can our systems respond the moment trade policy changes? Because that’s not a theoretical question anymore – it’s a baseline requirement.

Dharani Jeyaprakasam is a Principal Solutions Architect at ORO Labs.



Source link

Share. Facebook Twitter Pinterest Bluesky Threads Tumblr Telegram Email
omc_admin
  • Website

Related Posts

Pakistan warns of glacial flooding in the northwest

July 26, 2025

Concession workers on strike at Fenway Park

July 25, 2025

Thousands of doctors in England strike over pay, disrupting patient care

July 25, 2025
Add A Comment
Leave A Reply Cancel Reply

Top Posts

LPG sales grow 5.1% in FY25, 43.6 lakh new customers enrolled, ET EnergyWorld

May 16, 20255 Views

South Sudan on edge as Sudan’s war threatens vital oil industry | Sudan war News

May 21, 20254 Views

Trump’s 100 days, AI bubble, volatility: Market Takeaways

December 16, 20072 Views
Don't Miss

ICJ Delivers Landmark Climate Ruling on State Obligations to Curb Emissions

By omc_adminJuly 25, 2025

In a move that could reshape global climate accountability, the International Court of Justice (ICJ)…

Eni profits beat estimates as bold cost-cutting strategy offsets oil uncertainty

July 25, 2025

Valeura, PTTEP expand offshore exploration in Gulf of Thailand

July 25, 2025

Chevron to Cut Positions as Part of Hess Integration

July 25, 2025
Top Trending

US heat dome causes dangerous conditions for more than 100 million people | US news

By omc_adminJuly 25, 2025

Deutsche Bank Reports Strongest Sustainable Finance Quarter Since 2021

By omc_adminJuly 25, 2025

Mizuho Acquires Energy Transition-Focused Investment Bank Augusta

By omc_adminJuly 25, 2025
Most Popular

Analysis: Reform-led councils threaten 6GW of solar and battery schemes across England

June 16, 20252 Views

Guest post: How ‘feedback loops’ and ‘non-linear thinking’ can inform climate policy

June 5, 20251 Views

The 5 Best Soundbars of 2025

May 6, 20251 Views
Our Picks

Enbridge to Supply Meta with Power from 600-MW Solar Project in Texas

July 26, 2025

Supertanker Hauling Saudi Diesel Heads to Europe

July 25, 2025

Oil Slips on Stronger Dollar, Trade Doubts

July 25, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

Facebook X (Twitter) Instagram Pinterest
  • Home
  • About Us
  • Advertise With Us
  • Contact Us
  • DMCA
  • Privacy Policy
  • Terms & Conditions
© 2025 oilmarketcap. Designed by oilmarketcap.

Type above and press Enter to search. Press Esc to cancel.