Supply chain risks come in many forms, but a common thread is that they can cause significant disruptions and harm companies' bottom lines. Some executives mistakenly believe they will not encounter these issues and fail to prepare adequately or at all.
However, these threats can occur at any time, affecting companies of all sizes and types. Now is the time to develop a comprehensive supply chain risk mitigation strategy. Decision-makers will get the best results by understanding some of the most common issues that could affect their networks and planning accordingly. How should they begin?
Become More Realistic About Supply Chain Cybersecurity
Cybercriminals aim to maximize the damage they cause, which is why many target supply chains. They know successful attacks will have widespread ramifications with a potentially global reach.
The results of a 2025 study of cybersecurity leaders in the United States and the United Kingdom found that respondents believe security risks stemming from third parties and supply chain partners have become impossible to count or manage. Even so, 97% felt confident in their responses to breaches. However, 61% said their organization had experienced a third-party or supply chain attack within the past year.
That gap suggests misguided confidence, mainly because the recent attacks indicate an inability to properly secure the infiltrated networks. It is valuable to respond promptly after breaches to mitigate the overall effects. The better option, though, is to prevent intruders from infiltrating so there is no breach to defend against.
Conducting a cybersecurity audit is one of the most practical ways to see where vulnerabilities exist and what an organization already does well to safeguard against attacks. Experts should also stay informed about emerging threats, as attackers often aim to catch victims off guard. Proactiveness and awareness limit their effects.
Because threats also come from the inside, executives should also strongly consider budgeting for employee training that helps workers recognize and avoid falling for the latest phishing scams and other risks. Overly heavy workloads can also cause distractions due to tiredness, so managers should remain open to feedback from people who feel overwhelmed by their current responsibilities.
Understand and Reduce Sources of Customer Frustration
Dissatisfied customers are often overlooked as a supply chain risk. Those who become upset enough will take their business elsewhere, never to return. The broad reach of social media also allows them to take their grievances online and amplify their voices in minutes.
Despite the reputational damage customers can cause, a 2024 survey of supply chain leaders revealed that most put them behind other priorities. Approximately 84% reported spending more time on internal operations. Additionally, 76% prefer to create innovative products rather than deliver the best customer experiences.
Pleasing people is not always easy, but one of the most accessible methods is to track trends identified within feedback. Leaders can then respond accordingly to manipulate factors within their control. Reviews might mention little to no transparency about delivery dates. In such cases, real-time tracking links or estimated time windows help recipients prepare for the arrival of the incoming goods.
Customers may also report that their products arrive broken or otherwise in poor condition. This is a common issue with many possible causes. They include insufficient packaging that cannot withstand transport-related factors and supply chain partners who consistently treat the parcels roughly, despite external labeling requesting careful handling.
Supply chain leaders must examine all the aspects within their influence and address any weaknesses they find. Specialized shock isolation systems feature wire and rubber to dampen impacts and protect products during shipping. Decision-makers can also use connected sensors to pinpoint exactly where supply chain breakdowns occur and why. Perhaps a customer complains about spoiled perishable goods. In that case, company representatives can determine whether the issue occurred due to a handling mistake, a malfunctioning refrigeration system in a truck or another problem.
Act Intentionally to Safeguard Supply Chain Risks
Many decision-makers realize they must strategically transform their supply chains. Success can increase their competitiveness and profitability. Genuinely beneficial transformations may take longer and require more resources than leaders initially expect. That can result in executives making plans but failing to follow through with them.
According to a 2024 study, just 8% of industry leaders have achieved complete supply chain transformation to address disruptive trends. A risk mitigation strategy can keep people on the right track if they recognize the most pressing challenges and have practical solutions to implement them. Those overseeing these improvements must also budget for the necessary investments, whether in technological platforms, larger workforces or employee training.
The study also showed that supply chain executives have sufficient motivation to make the necessary transformations, even if they are initially daunting. The statistics showed 46% believe severe supply chain disruptions will happen more frequently until 2030. Although 52% of participants reported having ongoing initiatives to manage these supply chain risks, only 4% have adapted their supply chains to accommodate evolving technological advances.
Emerging options, such as artificial intelligence, help users predict and mitigate specific risks, but this is only possible when companies adopt the technology and employees demonstrate a willingness to adapt. The respondents who had the highest success levels mentioned numerous aspects instrumental in that result, including end-to-end, integrated approaches that require advanced skills, technologies and working methods.
They also deemed a clear vision and roadmap essential, along with resource capacities and worker commitment. Executives should act promptly when risks arise and prepare for them, so that when they occur, the respective companies experience only minimal disruptions.
Develop the Supply Chain Risk Mitigation Strategy
Besides applying these specific tips, those in charge of a company's supply chain should commit to going beyond mere intentions. Industry authorities often recognize that they must conquer known threats to safeguard their operations. That is a good first step, but people must not get stuck there and encourage themselves to stay motivated to accomplish tangible results.
Input from trusted peers can also shape their decisions, especially if those entities have been in similar positions and have practical tips for overcoming known challenges. Executives will then feel that they are not alone and can rely on others to tackle supply chain risks and get other desirable results.
