**London**: A survey reveals that only one in three companies has the necessary visibility to optimise their supply chain, exposing them to risks from global disruptions and rising import tariffs. Experts stress the importance of aligning supply chain management with broader business strategies for resilience.
A recent survey conducted by Buck Consultants International (BCI), in collaboration with Executive Platforms, reveals that only one in three companies possesses the necessary information to optimise their end-to-end supply chain. This finding comes at a time when businesses are facing significant global disruptions, including the implications of rising import tariffs, which add further complexity to supply chain management.
The study involved 240 supply chain leaders from both Europe and the United States. It highlighted a concerning trend, as 65% of companies reportedly lack the visibility required to manage their global supply and production networks effectively. The survey findings indicate that, while many companies are aware of external challenges, such as geopolitical developments, and internal factors, such as growth and margin, there exists a disconnect between business strategy and supply chain strategy.
Patrick Haex, who serves as the Global Head of Supply Chain Solutions at BCI, commented on the survey results, stating, “Assessing internal and external factors affecting footprint strategy is common practice. But the link between business strategy and supply chain strategy is very loose, which is a recipe for failing to meet business objectives.” This observation underscores the potential for oversight in aligning supply chain management with overall business goals.
The research also points to a lack of preparedness among companies when it comes to vulnerabilities within their supply chains. Alarmingly, only 26% of respondents conduct annual stress tests to evaluate risks across their supply chain. Njin-Tsoe Chen, a Senior Consultant at BCI, expressed concern over the impact of limited visibility on supply chain effectiveness. “The fact that only one in three companies has proper, detailed end-to-end visibility of their supply chain is really worrying. If the right information is missing, a company also cannot explore adequate alternative supply chain set-ups,” Chen remarked.
The study further argues that insufficient visibility could hinder companies’ abilities to adapt to new regulations, particularly those related to import tariffs. With increasing demands for transparency about the origins of components and detailed product code-level data for tariff compliance, businesses may struggle to effectively navigate these challenges without comprehensive supply chain insight.
As companies continue to grapple with the complexities of a shifting global landscape, the findings of this survey highlight the critical need for improved visibility and data management within supply chains to ensure strategic business alignment and operational resilience.
Source: Noah Wire Services
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