Experts Highlight Demand Visibility as Key to Supplier Trust, Customer Loyalty

Supply chain expert and business management professional, Arogundade Oluwasegun, MCIPS, CIPSMN-Chartered, has identified demand visibility as a critical but often overlooked factor driving supplier confidence and long-term customer loyalty in today’s competitive business environment.

Speaking on the growing challenges facing modern supply chains, Arogundade explained that demand visibility — the ability of organisations to accurately anticipate customer needs in terms of quantity, timing and product specifications — has become a strategic necessity rather than a supporting operational function.

“After more than two decades in supply chain and business management, one truth remains constant: clarity builds trust,” he said. “When businesses share accurate demand forecasts with their suppliers, they move away from constant firefighting and begin to operate through proactive collaboration.”

According to him, limited visibility across supply networks often results in inefficiencies, strained supplier relationships and rising operational risks. In contrast, transparent demand planning enables suppliers to make informed decisions around production capacity, inventory management and workforce planning.

He noted that when suppliers are confident in demand information, they are more willing to invest in innovation and continuous improvement.

“Transparency reduces uncertainty for suppliers and allows them to plan smarter. It also encourages fair risk-sharing and gives suppliers the confidence to co-develop new solutions with their partners,” Arogundade stated.

Industry examples from global corporations such as Toyota and Procter & Gamble, he added, demonstrate how integrated supplier planning can significantly improve responsiveness and operational efficiency.

From the customer standpoint, Arogundade stressed that reliability remains one of the strongest drivers of brand loyalty, even when it is rarely visible to consumers.

“Customers may be drawn in by marketing, but loyalty is built through consistent product availability and timely delivery. When a company keeps its promises, trust naturally follows,” he said.

He pointed to major technology brands whose product launches are supported by dependable fulfilment systems, noting that anticipation alone is not enough without the ability to deliver at scale.

The supply chain professional further explained that procurement and sourcing leaders play a central role in ensuring demand information flows seamlessly from point of sale back to upstream suppliers. This, he said, allows manufacturers to respond quickly to changes in specifications and evolving customer requirements.

Technology, he noted, has become a major enabler of demand visibility, with tools such as advanced forecasting systems, artificial intelligence and cloud-based collaboration platforms improving real-time data sharing across value chains.

However, Arogundade cautioned that technology alone cannot guarantee success.

“Trust cannot be automated. It must be built deliberately through openness, shared objectives and mutual respect,” he said. “Organisations that invest only in systems without strengthening relationships will not achieve full value.”

Despite its benefits, he acknowledged that many organisations still struggle with data silos, inconsistent information and internal resistance to transparency. To overcome these barriers, he advised a gradual implementation approach, beginning with pilot programmes, strong data governance frameworks and early supplier engagement.

He also stressed the importance of tailoring demand visibility strategies to industry realities, whether in fast-moving consumer goods or capital-intensive manufacturing sectors.

As global competition intensifies, Arogundade urged business leaders to elevate demand visibility from an operational concern to a leadership priority.

“Demand visibility should not sit in the back office. It belongs in the boardroom,” he said. “When executives champion transparency and collaboration, they don’t just optimise supply chains — they build trust that turns suppliers into partners and customers into lifelong advocates.”