Despite Supply Chain Bruising, Leaders Remain Hopeful
How bad was it? According to a new survey, more than 85% of supply chains saw reduced operations during the height of the pandemic’s disruption. For 57% of organizations, the disruption created at least a 25% reduction in operations.
The survey also revealed how the pandemic served as a cold blast of reality for many companies. 77% said they thought their supply chains had been “at least somewhat prepared” for a major disruption pre-pandemic, but that number dropped to 39% more recently.
In spite of these harsh lessons, respondents to the survey conducted by Infosys Consulting said they were optimistic about the future. Sixty percent said they expected their company would recover within 6 months, and only 10% said it would take more than a year. At the other extreme, 8% speculated that their business would never recover.
“It is reassuring to see that supply chain executives are optimistic about future recovery, despite the ongoing disruptions and challenges ahead,” said Andrew Duncan, partner and UK CEO of Infosys Consulting. “However, many organizations were overconfident in their ability to weather a major disruption, indicating the need for better strategies, tools and planning moving forward.”
The top 5 organizational improvements respondents said their companies need to be prepared for the next “Big D” disruption concerned demand forecasting, readiness and continuity planning, inventory management, warehousing and distribution, and visibility and data.
More survey results can be found here.