The 2024 Supply Chain Barometer report reveals that CEOs across the United States, Europe, and the United Kingdom are struggling with supply chain resilience, as they face challenges from human rights issues, de-globalization, and decarbonization.
The Struggle for Supply Chain Resilience
A recent survey of 3,000 CEOs from the United States, Europe, and the United Kingdom has revealed a significant struggle with supply chain resilience amidst ongoing disruptions in 2024. The 2024 Supply Chain Barometer report, released by consulting firm Proxima, indicates that the majority of company leaders are grappling with supply chain shocks.
The Barometer serves as a crucial indicator of how business leaders are reacting to geopolitical, economic, and environmental supply chain issues. This year’s findings highlight the ongoing redesign and reconfiguration of complex supply chains as globalization gives way to regional, “friendly” trading zones.
_Top Challenges for U.S. CEOs_
For U.S. CEOs, the top supply chain challenges include “right shoring,” AI, decarbonization, and labor concerns. Key findings from the report include:
- 87% of CEOs identify resilience issues in their supply chains.
- 96% of CEOs are dedicating equal or more time to supply chain issues this year.
- Right shoring trends reveal that 44% of CEOs are planning to or have undertaken onshoring, 41% are planning to or have undertaken nearshoring, 41% are planning to or have undertaken friendshoring, and 35% are planning to or have undertaken offshoring.
- 99% of CEOs surveyed are either using or considering AI for their supply chains, with 82% planning new AI initiatives this year.
- 63% express concern about potential human or labor rights issues in their supply chain.
- 99% face barriers to decarbonization, with 30% citing the complexity of the work required as the biggest barrier.
Simon Geale, executive vice president and chief procurement officer at Proxima, stated that the complexities of global supply chains continue to perplex CEOs worldwide. The results of this year’s Barometer show that business leaders are dedicating more time to tackling supply chain challenges, reflecting the multiple issues they must address.
