How do you manage supply chain risk effectively in a world of constant disruption? Varying approaches are emerging to allow room to manoeuvre in a system that had become efficient to a fault.
It is a rare risk professional who has emerged from the past few years with a business completely unaffected by supply chain disruptions. The sources have been many and varied, including the US-China trade wars, the global pandemic, invasion of Ukraine by Russia, natural catastrophes, strikes, port closures, inflation and energy crisis, and other significant – sometimes unlikely – sources.
The world remains highly interconnected, so disturbances in one region cripple entire value chains and impede production in places that, at first glance, appear to be entirely disconnected from the source event.