• Nick Bozhilov

Lack of raw materials and new regulations to disrupt supply chains in 2019

As consumers become more aware of what they buy companies will need to change.

Raw materials shortages, ongoing trade disputes and tougher environmental regulations could disrupt supply chains across the globe, says the newest DHL Resilience360.

Crucial materials such as lithium, cobalt, and adiponitrile could be affected by increase in demand and political changes in 2019. As consumers become more aware of quality issues and stricter enforcement by regulators, companies will be forced to invest more and inform everyone on their supply chain for changes and risks. This are the main points put forward by DHL for this year.

“Modern supply chains are vulnerable. Transportation delays, theft, natural disasters, inclement weather, cyber-attacks and unexpected quality issues can disrupt cargo flows, creating short term costs and delivery challenges,” says Shehrina Kamal, Director Risk Intelligence, Resilience360.

For 2018 the DHL report put trade flows, cyber security incidents, and climate change paired with extreme weather conditions as the top three risks that affected companies around the world. The trade dispute between the US and China was keeping many managers awake during the night. So did Brexit and all the uncertainty around the UK departure from the EU. More problems aroused from cyber security where logistics and transport companies experienced increase in cyber-attacks. Climate change also seriously affected many supply chains as 2018 was the fourth warmest year since records began.

#DHL #supplychain

0 views
  • LinkedIn
  • Facebook
  • Twitter
  • Instagram

The Logistics Point

©2019 by The Logistics Point