Supply chain resilience best defense against global risks: New report

The InsightOn: Risk and Resilience report highlighted that between 2000 and 2010, losses caused by supply chain disruption averaged US$115 billion per year, escalating to US$380 billion in 2011 with 2015 expected to be higher with port delays alone, estimated to have cost US retailers already US$7 billion.


DHL InsightOn: Risk & Resilience supply chain disruption


A new report from DHL on risk management and supply chain resilience reveals that 74 per cent of companies surveyed suffered disruption in their supply chain in 2015 as conflict in the Middle East, catastrophic fires at Tianjin port, industrial action in US ports and other global disasters made 2015 a tough year for global supply chains.

The InsightOn: Risk and Resilience report – the latest in the DHL series – highlighted that between 2000 and 2010, losses caused by supply chain disruption averaged US$115 billion per year, escalating to US$380 billion in 2011. The cost in 2015 is expected to be higher with port delays alone, estimated to have cost US retailers already US$7 billion.

“The modern economy runs on interconnected global supply chains, but with distance and complexity come new types of risk from natural and manmade disasters, climate change, and socio-political and economic factors from war to strikes and crime. Any company relying on complex supply chains needs to improve its risk management and our report provides insights and methodologies to help companies develop smarter strategies. The goal is to build resilient supply chains – ones that will also give companies a competitive edge,” said Bill Meahl, chief commercial Oofficer, DHL.