How will Brexit affect your business

  • Published on: 3 November 2017
  • By: Frances Talman

The decision to leave Europe was made over a year ago and the waters seem as muddy as the day after the Brexit decision was taken. Can you afford to wait until all the pieces are in place? More to the point will your competitors wait until all the key decisions have been made before they start to re-position? There are actions you can take that will help you review your relationship with suppliers and stakeholders that will put you in a better position to deal with Brexit. Consideration is given below to those elements that can help you revaluate your relationships in a post Brexit Britain.   

1) Understanding and preparing for the variables – this will enable you to validate how much effort you need to put into your preparation

There are many variables and potential scenarios to consider whilst preparing for the impact of Brexit. But there are some sensible steps and processes that you can implement now.  These include:

  • Locality - Identifying services that will have to move early so that you can  assess and mitigate for the operation and financial impact
  • Financial Analysis - Establish a base case against which you can build business plans to support your decisions
  • Reducing Costs - Funds will be required to deliver the Brexit changes and many organisations will ask for these to be funded out of your operational activities
  • Compliance - Define a clear workflow for responding to  potential changes in compliance
  • Risk Assessment - Reassess your risk register to ensure it accurately reflects existing and new risks
  • Business Continuity - Have the plan at hand and up to date so that you can quickly implement should problems occur
  • Exit Planning - Revisit your exit strategies and update to smooth out the exit process if the inevitable happens

2) Contractual documentation

Often documents are not readily accessible and individuals are working from different versions that do not detail the current/all the obligations under contract and create disputes just when you need collaboration. Simple steps can be taken to avoid this situation:

  • Establish a single library accessed by all 
  • Consolidate any operational changes into the main library
  • Establish a structure process to manage future changes
  • Educate your team on the key elements of the contract with a combination of training, contract manual, super users that understand the contract in greater depth

3) Resolve any issue and disputes

Any disputes, disagreements or issues can turn a partnership and collaborative environment into a toxic arena if not resolved. Complex agreements can throw up many such issues which can easily manifest into stalling points which destabilise working partnerships. It is sensible to create a process to deal with any issues that are current or historical in order to create a stable environment for future negotiations. 

4) Are your suppliers delivering what you are paying for?  

Complex agreements are often encapsulated in hundreds of pages of separate documents that contain many commitments. Consolidate the commitments into one document that can be monitored and validated against delivery. This can inform and leverage any changes required in the future.

For help with managing your Brexit strategy, procurement, contract renegotiation call eXceeding, for a free consultation with one of our expert consultants.