Companies increasingly focus on resilience
Supply chain disruptions continue to cost businesses dearly, especially in the wake of a turbulent 2020, according to an international survey of senior decision makers at large companies, released this week. the Global Supply Chain Annual Report from supply chain risk management firm Interos interviewed 900 senior IT, IT security and purchasing officials in the United States and Europe and found that supply chain disruptions cost large companies an average of about $ 184 million per year. Business disputes, cyber attacks and the effects of the Covid-19 pandemic are among the biggest risks, according to survey respondents, all of whom work for companies with more than $ 1 billion in revenue annual. “The results of our survey underscore the growing importance of operational supply chain resilience in the globally interconnected world in which we all live and operate,” said Jennifer Bisceglie, CEO of Interos, in a press release announcing the results. “We can no longer clearly separate digital and physical supply chains, resulting in a need for greater transparency of the hidden risks, relationships and dependencies of the supply chain, which companies recognize as being of the utmost importance. ‘crucial to protect both the results and the reputation of the company. Among the findings, supply chain executives said they continued to face disruption from the pandemic. Fifty-one percent of those polled said their supply chains had been affected by issues related to Covid-19, with 89% of them reporting disruptions to product lines and locations. Cyber attacks also rank high, with more than three-quarters of respondents reporting having experienced at least one such attack on their supply chain in the past year. Trade issues are also a concern, with 88% of respondents indicating that international trade disputes would have “significant, notable or moderate impacts” on their organization. The most common impacts include forced changes to production sites, disruptions to the banking / payment infrastructure, and an increase in cyber espionage against their business, among others. In response to the volatile risk climate, respondents said they will place more emphasis on supply chain security and resilience. Half of those surveyed said security and resilience will be a top business priority over the next two years, compared to 39% who said they focus on these issues today; more than three-quarters (78%) of those surveyed said their business leaders meet to discuss the topic at least once a month.