Despite challenges, supply chain leaders remain confident in recovery plans

New research from CargoWise shows that while supply chain professionals are increasingly diversifying their networks and leveraging real-time monitoring to address rising risks such as geopolitical tensions and cybersecurity threats, many may be overconfident in their ability to recover from disruptions due to a lack of consistent scenario planning.

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The study, Future-proofing Supply Chain Operations: Leveraging Technology for Lasting Impact, surveyed more than 450 global logistics professionals between March and April 2024. Findings show that while 57% of respondents are confident in their recovery strategies, only 32% regularly conduct scenario testing to assess their responses to potential threats.

Key Insights

Main concerns: Geopolitical tensions and cybersecurity threats are the top risks to global supply chains, with North American professionals particularly concerned about cyberattacks (28%, compared to a global average of 19%).

Diversified and real-time monitoring: To mitigate risk, companies are prioritizing multi-sourced supply chains and real-time monitoring to enable faster decision making when disruptions occur. North American respondents lead the way in diversifying supply routes (37% compared to 33% globally).

Technology Integration: Nearly half of respondents (48%) want technology integration to streamline operations and increase real-time visibility and data accuracy to enable better decision making.

However, Gene Gander, General Manager of CargoWise, stressed that without comprehensive, regular scenario planning, confidence in recovery plans can be undermined. “True resilience requires ongoing preparation and testing,” Gander noted, encouraging companies to adopt a unified platform that supports predictive analytics and rapid decision making.

Despite growing awareness of potential threats, the gap between preparedness and confidence suggests that the industry could strengthen its resilience strategy through more proactive measures.