High energy costs, strict regulations, and uncertain markets make procurement more complex. Are Excel and ERP enough to keep track of prices, risks, and compliance? Many companies struggle with manual processes and lack of transparency—and miss cost-saving opportunities in the process.

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With a centralized data foundation, intelligent price analysis, and AI-powered recommendations, companies can reduce costs and make informed decisions. But how does this work in practice? Our experts from Tacto show how modern SRM transforms procurement and makes companies more resilient.

Germany's current economic situation presents companies with enormous challenges. High energy costs, regulatory burdens, and a declining industrial base intensify uncertainties for procurement departments in mid-market companies. But with targeted measures and strategic digitalization in procurement, companies can not only optimize costs but also strengthen their resilience against economic turbulence.

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Florian Findeis (Product Development at Tacto) and Kendra Benkendorf (Product Development at Tacto) show what this can look like in practice in our webinar.

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Deindustrialization: The Gradual Decline of Industrial Production

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Germany is in a difficult economic phase. Gross domestic product (GDP) declined in 2024 for the second consecutive year. The manufacturing sector is particularly affected. Industrial production has fallen significantly, and major industries such as automotive and machinery are struggling with declining orders, high costs, and increased international competition.

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For procurement departments, this creates a paradoxical situation:

• Pressure to Reduce Costs: Companies must cut costs to maintain competitiveness and margins
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• Limited Supplier Base: At the same time, the declining industrial base makes it harder to find qualified suppliers
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• Supply Chain Risks: Instability among suppliers increases risks of delivery failures and bottlenecks
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In this environment, strategic procurement becomes a key competitive factor. Companies that can work with their suppliers efficiently and strategically create an advantage.

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Trade Tariffs: New Uncertainties on the Horizon

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Trade policies have become another major source of uncertainty for procurement. Recent announcements regarding potential tariffs on Chinese imports, for example, could fundamentally disrupt supply chains and increase product costs overnight.

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Companies must be prepared to respond quickly to such developments. This requires:

• Supplier Diversification: Spreading procurement across multiple countries and suppliers to reduce dependency
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• Price and Risk Transparency: Understanding which suppliers are affected by tariffs and what cost impacts are expected
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• Scenario Planning: Developing contingency plans for different tariff scenarios
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Modern SRM systems enable companies to analyze these scenarios quickly and make data-driven decisions.

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Solutions: Data-Driven Decision Making in Procurement

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Faced with these challenges, many companies are asking the same question: How can we maintain or even improve our competitiveness despite these external pressures?

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The answer lies in data-driven procurement:

• Centralized Supplier Data: A central database of all suppliers, contracts, and KPIs enables transparent monitoring and quick decision-making
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• Intelligent Price Analysis: AI-powered tools can identify price trends, benchmark supplier performance, and uncover cost-saving opportunities that might otherwise be missed
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• Scenario Modeling: Companies can model how different tariff, energy price, or supplier scenarios would impact their costs and supply security
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• Proactive Risk Identification: AI can flag at-risk suppliers or emerging supply chain vulnerabilities before they become critical
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Tacto's SRM platform is designed to help companies navigate exactly these challenges. In the webinar, Florian Findeis and Kendra Benkendorf will explore these solutions in detail and demonstrate how companies can use data and AI to turn uncertainty into competitive advantage.

In the live webinar "Elections, Deindustrialization & Trade Tariffs: Leveraging Competitive Advantages with 360° Supplier Management Even in Uncertain Times," Florian Findeis (Product Development at Tacto) and Kendra Benkendorf (Product Development at Tacto) demonstrate how companies can respond to economic uncertainties with data-driven procurement. They explain why a centralized data foundation, intelligent price analysis, and AI-powered recommendations are critical to reducing costs, identifying risks early, and developing procurement strategically.