CSCO imperatives for building supply chain resilience

FEBRUARY 2024

Supply chain management faces a wide range of challenges as businesses strive to adapt to an increasingly complex, global landscape. Current challenges, such as east coast shippers transferring to the west coast, shipping delays, choke points, container availability, inventory management, and vertical integration, demand innovative solutions and approaches for CSCOs to bring visibility to suppliers and stability across a supply chain.

As global supply chains continually weather increased volatility globally, CSCOs must focus on three areas:

Mitigating risk by multiple means

CSCOs should lean into risk mitigation by diversifying supplier base, exploring options for shipping routes/ports, and providing assistance to key suppliers during periods of distress.

Adapting to new realities

Building inventory to address shipping disruptions and adopting clean supply chain policies that promote transparency and inclusivity are critical. CSCOs are also exploring sourcing from countries like Vietnam and Mexico, while being prepared to handle challenges related to their industrial zones and labor markets.

Moving toward transparency

With a goal towards transparency in supply chains, CSCOs seek better data on suppliers for accurate forecasting and inventory assurance. Transparency is also crucial for regulatory compliance. A focus on risk mitigation, adaptability, and leveraging technology to achieve transparency will equip CSCOs with the necessary data and metrics for strategic decision-making.