Put Your Glasses On: Avoiding Myopia in the Global Glass Industry

The global glass industry is experiencing an intense shift in the balance of power between glass producers and customers. The food and beverages sector has been the hardest hit and is paying the highest price—as was evident in the recent round of contract negotiations with glass suppliers. However, a handful of companies (wine, spirits and brewers) anticipated the shift and de-risked their glass bottle supply costs. Because it is unlikely this industry will ever again be a “buyer’s bonanza,” companies that require glass packaging must change their priorities and strategies. It is time to buy global, manage complexity, and rediscover the power of supplier partnerships.