After a series of disruptions over the past year, an impressive 93% of supply chain leaders express confidence in their companies’ resilience against future threats. This confidence is not unfounded, as these leaders are not merely adapting to changes but are actively transforming their supply chain strategies to ensure stability in the future.
Confidence Amidst Disruptions
A survey conducted by marketing company R.R. Donnelley and Sons (RRD) revealed that 66% of the 300 leaders and managers surveyed feel “very confident” in their supply chain resilience. This confidence is backed by proactive planning, with 97% of respondents indicating plans to rework their supply chains in the next two years to fortify them against disruptions. A significant 30% are aiming for a “total and complete re-engineering” of their supply chains.
Addressing Future Concerns
Looking ahead, supply chain managers are most concerned about inflation and price fluctuations in the next one to three years. A shortage of human talent and domestic supply chain disruptions also feature prominently on their list of concerns. Interestingly, 77% of respondents believe that the outcome of the upcoming U.S. presidential election will impact global supply chains.
Risk Mitigation Strategies
To mitigate these risks, supply chain leaders are diversifying their supply chains. Nearly 70% plan to develop new relationships with alternative suppliers. Approximately 67% aim to increase sourcing from domestic suppliers, while 52% are targeting a dual sourcing strategy with suppliers who are “geographically dispersed.” These strategies reflect the leaders’ commitment to innovation and agility in navigating future supply chain challenges.
