Only 20% organisations equipped to handle supply chain disruptions
Source: Middle East Insurance Review | Feb 2023
Globally, organisations plan to increase their supply chain investments by 17% to transform it over the next three years, according to a new research by Capgemini.
The new research revealed that 75% of the organisations have been impacted by closing facilities, supply chain disruptions, employee absence and remote work in the past three years. The research found that less than 20% of organisations feel equipped to handle the impacts of these changes.
Capgemini Research Institute’s report, ‘How greater intelligence could supercharge supply chains’, explored how organisations across industries can leverage technology to create resilient, sustainable, and intelligent supply chains to navigate these disruptions and adapt in real time.
Greater focus on sustainability, global socio-economic changes and shifting consumer demands has meant that organisations are facing considerable disruption to their supply chains. In this context, leaders’ most pressing concerns are reducing CO2 emissions across all tiers of the supply chain (95%) and growing e-commerce volumes (90%).
Around 92% of organisations surveyed said that the ongoing relocation of the global supply chain will impact them but only 15% are equipped to deal with this.
Investing in supply chains now is critical for organisations to be prepared to meet future demands. On average over the next three years, organisations plan to increase their investment in supply chain transformation by 17% and expect to double their business outcomes in terms of growth, profitability and sustainability.
The report highlighted a need for organisations to design resilient, connected networks with integrated data-driven planning. It suggested that technology will be a critical enabler here, giving organisations access to real-time insights which in turn can enhance the ability to predict change and help them plan for possible future scenarios. M