Foreword: The impact of supply chain management on TP from an industry perspective

Deloitte and ITR are pleased to publish the ITR transfer pricing supply chain management guide, which will highlight the evolving changes across industries and sectors and related challenges and opportunities for multinationals in transfer pricing (TP).

The topics discussed are related to disruptions in value chains from recent economic developments but also from the development, enhancement, maintenance, protection, and exploitation (DEMPE) concept, which requires attention from a TP perspective.

The following sectors and aspects will be highlighted in the ITR guide.

The technology, media, and telecoms article explains the impact of blockchain in digital models and in creating opportunities for new product offerings but also digital assets, which needs consideration in TP analyses.

The automotive sector has been one of the sectors most disrupted by COVID-19. It had to adjust its value chain to meet customer standards but also remain profitable. One article provides examples, along with the implications for TP from a Mexican perspective, and another describes disruptions in the value chain from macroeconomic impacts and geopolitical shocks, and related considerations from a TP perspective.

Consumer retail and wholesale distribution has also been one of the most severely affected sectors in recent years. The sector not only suffered from disruptions in supply chains but companies had to adapt to omnichannel retailing, allowing customers to shop online while companies attempted to keep up with competitors. The article describes how best to review TP models while the changes are taking place.

Leading Deloitte figures in the life sciences and healthcare sector detail the TP impact of regulations within the sector, and the changing landscape for the importation and exportation of products.

The energy and resources article discusses how recent disruptions have affected traditional value chains and the impact on market prices, which need to be reviewed for TP purposes.

Deloitte leaders in the industrial products and construction sector provide an overview of the disruption caused by the economic effects of COVID-19 and the war between Russia and Ukraine, and analyse this in the form of a case study.

The insurance article discusses the importance of intangible assets with respect to brands in the insurance sector, and the disruptions that can be caused in value chains.

Flexible working has become the new normal, and the tax implications are studied in an article that considers the future of work in the financial services industry. The various remote working models are presented and it is important that the tax positions are taken into account when the options are made available to employees.

The article on asset management discusses the impact on the value chain of a shift from traditional investment products to alternative investment products.