Historically the focus of supply-chain managers has been sourcing: managing the flow of materials and resources as they move through value-adding stages until they become finished products and services all the way to the point of delivery to customers.
Are the Risks of Global Supply Chains Starting to Outweigh the Rewards?
In addition to product costs and supplier choices, today’s managers need to consider geopolitics, logistics, sustainability, and suppliers’ health.
March 21, 2022
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Summary.
The conflict in Ukraine is only the latest jolt to global supply chains. Disruptions caused by the Covid-19 pandemic, climate-related events, and geopolitical tensions were already undermining their rationale. As companies rethink sourcing, they will have to consider new factors concerning geography and geopolitics, logistics, decarbonization and sustainability, and suppliers’ health.