In a world where cyberattacks, climate disasters, and geopolitical tensions are hitting the supply chain like a hammer, getting a grip on the risks is more critical than ever. This article dives into how these overlapping threats impact global supply chains and argues for a proactive approach to risk management through tech-enabled insurance.
Source: Supply Chain Management Review
Key Points
- Cyberattacks, extreme weather, and geopolitical instability create a polycrisis threatening supply chains.
- Insurers are shifting from reactive to proactive strategies, focusing on prevention through technology.
- Real-time data and AI can monitor supply chain vulnerabilities, helping businesses mitigate risks before problems arise.
- The cost savings from investing in preventative measures can be significant; every €1 spent can save €5 to €7 in recovery costs.
- This new approach is about rebuilding resilience and supporting communities to navigate future challenges.
Why should I read this?
If you’re in the business world, understanding the intersection of these risks could save you time, money, and headaches down the line. This article outlines a fresh perspective on risk management that’s totally relevant in today’s climate. Skip the guesswork and get educated on how to prep for what’s coming next!