Mitigating Brexit Impact: A Strategic Analysis for Nisa's Business

This presentation examines the impact of Brexit on Nisa, a UK-based grocery wholesaler, focusing on the challenges it poses to the company's supply chain and overall business operations. It highlights issues such as supply shortages, increased prices, and disruptions to the shipment of goods. The presentation proposes a problem-solving strategy centered around procurement, warehousing, and manufacturing footprint adjustments to mitigate these impacts. The analysis includes the use of the '5 Whys' technique to identify the root causes of the problems, ultimately pinpointing Brexit as the primary driver. Recommendations include increasing customer engagement through social media, relying on domestic sources to reduce supply shortages, and making strategic changes to raw material sourcing to lower transportation costs. The presentation concludes that Brexit has significantly impacted the UK economy and Nisa's supply chain, emphasizing the importance of proactive strategies to address these challenges and ensure business continuity. Desklib provides access to similar solved assignments and past papers for students.

BREXIT IMPACT

TABLE OF CONTENTS
 INTRODUCTION
 BREXIT AND ITS IMPORTANCE
 PROBLEM SOLVING STRATEGY
 Procurement
 Warehousing
 Manufacturing footprint
 ANALYSIS OF THE PROBLEM
 5 WHYS
 IDENTIFICATION AND SOLUTION
 CONCLUSION
 REFERENCES

INTRODUCTION
 Brexit is a UK's decision to leave the European Union. European union is a group of
countries that was involved in a free trade between the members of the European Union
(Arnorsson, and Zoega, 2018).
 Nisa is a grocery wholesaler in the United Kingdom. It has independently owned retail
outlets operated throughout the United Kingdom (News & Press Office, 2021).
 Brexit has affected Nisa in various ways.

BREXIT AND ITS IMPORTANCE
 Brexit is the major problem that has affected almost every
business in United Kingdom.
 It is a very important problem as the economy of the UK decreased a
lot by the impact of Brexit. Nisa faced various problems due to the
Brexit that include supply shortage, loss of customer as many people
were unemployed with the affect of the Brexit in the United Kingdom
(Sampson, 2017).
 Price of goods also increased as tariff were not absorbed by the supply
chain. The shipment of goods were also affected that was resulted in
the inflation in the country

CONT.
 .According to the study 80% of consumers in United
Kingdom were worried about the food products prise in the
supermarkets and stores in the event of Brexit(The impact
of Brexit on UK grocery industry and shoppers, 2021).
 Nisa has to hoard temporary refrigerated container unites,
and develop the security measures to protect the supply
chain of the business. Nisa has been faces great problems
due to the Brexit as it impacted the most of the food and
drinks retailers.

PROBLEM SOLVING STRATEGY
 Strategy to solve the problem of the problem that has caused great impact on the
business.
 Various strategy can be followed to reduce the risk of the problem of Brexit. In order
to solve the problem of the Brexit Nisa can adopt three steps to reduce the Brexit
impact on the supply chain.
 Procurement
 Warehousing
 Manufacturing footprint

PROCUREMENT
 In order to overcome the risk of supply chain of raw martial and components and much
more expensive products.
 Nisa should re-evaluate their existing sourcing mechanisms. It includes focusing on
on-shoring opportunities and local suppliers or a second source suppliers.
 It will decrease the cost of supply and help the Nisa to overcome the barriers in the
supply chain of the company

WAREHOUSING
 It refers to the strategy of allocating or storing of the products to
control the demand and supply of the products (Boysen, De Koster and
Weidinger, 2019).
 Nisa should also increase the safety of the inventory to ensure the
continuity of the business.
 Most of the Brexit impact has posed the threats to the service levels so
forward planning is the key to reduce the impact of the Brexit in the
supply chain management and availability of the resources and assets

MANUFACTURING FOOTPRINT
 company need to focus on the positioning of the production and operation activities in
terms to value chain and geographical location.
 UK based production is also relocated to Europe to protract margins that would be
dissolved by the import and export duties.
 The production network of the Nisa should be based on the local market resources to
avoid the tariff barriers of the Brexit.

ANALYSIS OF THE PROBLEM
 Problems of the Nisa can be analysed from the various
factors that has been lead to the threats for the company.
 Majority of the problems are caused by the external
factors. Problems of the company can be analysis below.
 PROBLEM
 GATHERING DATA
 CASUAL FACTORS AND ROOT CAUSE

5 WHYS
 Five whys technique can be usd to analysis the problem and its
root cause. It refers the interrogative technique that is used to
analysis the problem in deep and underlying a particular
problem.
 Define the Problem
 Why is it happening?
 Why is that?
 Why is that?
 Why is that?

IDENTIFICATION AND SOLUTION
 From the analysis of the problem, it has been identified that the main reason behind the
problems in the Nisa is the Brexit.
 It can be recommended to the business that company should increase the customer
engagement by social media it will increase the sale of the company (de Oliveira
Santini and et.al., 2020).
 Company should rely on the domestic source that will reduce the problem of shortage
of supplies. Change in the source of the raw material will also reduce the transportation
cost of the company