BSI, the business improvement company, unveiled its Supply Chain Risk Insights 2020 Report that identifies the trends and associated risks impacting global supply chains in the year ahead. The report is powered by BSI’s Supply Chain Risk Exposure Evaluation Network (SCREEN) tool, a web-based, comprehensive global supply chain intelligence system. Using SCREEN intelligence, BSI predicts the following trends will dominate the global supply chain throughout the year ahead:
- Coronavirus and Tackling a Global Outbreak
- Shifting Supply Chains in Asia
- Human Trafficking and the Exploitation of Migrants
- Political Protests and Global Ideological Shifts
- Impact of Climate Change on Business Continuity
- Global Risk of Terrorism and Tensions in the Middle East
The Supply Chain Risk Insights 2020 Report sheds light on these new threats and the progress made in addressing ongoing challenges, while offering best practices for countering and managing risk.
“As incidents such as political protests, severe weather events, and acts of terrorism occur globally, businesses will need to prepare their supply chain for these concerns to ensure stability in the face of uncertainty,” said Jim Yarbrough, Global Intelligence Program Manager at BSI. “The trends and incidents of 2019 have set the stage for new, deeper challenges in 2020 and beyond, requiring the global business environment to reassess their strategies to ensure stability and continuity.”
Coronavirus – Tackling a Global Outbreak
The coronavirus disease (COVID-19) outbreak has highlighted the current fragility of global supply chains wherein the failure of one link in the chain has the potential to cause extensive disruptions throughout. As companies adjust to the impact on their supply chains by the downtime and slowed restart of Chinese manufacturing, the spread of COVID-19 globally will lead to complex and varied responses by individual governments to contain the virus, creating further disruptions and requiring businesses to adopt adaptive business continuity measures. The outbreak highlights the need for comprehensive business continuity planning that considers all types of potential natural disasters, including disease outbreaks. Lessons learned from the COVID-19 outbreak on how to better mitigate disease spread and absorb delays to manufacturing and global shipping will shape how businesses and supply chains are able to respond to other possible outbreaks in the future.