Kentucky launches initiative to make supply chain more secure. Here's why that matters

Matthew Glowicki, Louisville Courier Journal
·2 min read
Governor Andy Beshear outlines opportunities for the General Assembly to make lasting change in communities across the commonwealth.
Governor Andy Beshear outlines opportunities for the General Assembly to make lasting change in communities across the commonwealth.

A new state initiative is aiming to tackle supply chain issues by better connecting Kentucky businesses.

The "Supply Kentucky" effort is focused on increasing security and cutting costs in the supply chain. A key tool of the initiative is CONNEX Kentucky, a searchable supply chain database that’s free for Kentucky manufacturers to register.

"Every supply chain source that a Kentucky company can connect with and satisfy with another Kentucky company builds security…" Gov. Andy Beshear said at a Monday news conference. "It grows Kentucky jobs and it allows for a more direct connection and relationship."

Kentucky manufacturers can use the platform to search thousands of Kentucky suppliers, find contracts, post and receive requests for proposals and find sourcing opportunities for parts and materials.

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Jeff Noel
Jeff Noel

Jeff Noel, secretary of the Cabinet for Economic Development, said businesses that receive incentives or benefits from his cabinet will be asked to use the online database to see if they can first tap into Kentucky suppliers as they open a facility in the state.

Sourcing closer to home is meant to increase reliability in business' supply chains, cut transportation costs and help spur job growth in the process. Supply chain issues vexed businesses big and small during the early years of the pandemic and created trickle-down effects for consumers on everything from toilet paper to computer chips.

The initiative is a partnership between the Kentucky Association of Manufacturers and the state's Cabinet for Economic Development.

Connex Kentucky is a free product of Connex Marketplace, a paid online service connecting manufacturers and suppliers to a national database of 140,000-plus businesses. Ten states, including Florida, Missouri, Michigan and Tennessee, are already using the service.

Coming soon:Three national brands, retailers to open in Louisville in 2023.

More information about the service for Kentucky businesses can be found in this FAQ.

More than 5,000 manufacturing facilities are based in Kentucky, employing approximately 250,000 people, according to the state. Nearly 13% of the state’s workforce in in manufacturing, above the national average of 8.1%.

The state recorded its second-best year of economic growth in 2022 — behind 2021 — with 248 new-location and expansion announcements tied to 16,000 full-time jobs and $10.5 billion in new investment.

Business reporter Matthew Glowicki can be reached at mglowicki@courier-journal.com, 502-582-4000 or on Twitter @mattglo. 

This article originally appeared on Louisville Courier Journal: Kentucky helps businesses strengthen supply chain with Connex Kentucky