Supply Chain

While consumers will undoubtedly feel the pain, the most significant repercussions will be felt upstream by suppliers, who are already operating on thin margins due to rising costs and high interest rates.

Supply chains are the backbone of many industries and businesses. Every part, from raw materials to operational technology, must arrive on time and meet the exact specifications to keep production running smoothly. When supply chain disruption strikes, the impacts are devastating.

A supply chain is only as strong as its weakest supplier. When a supplier fails, an organization's entire production line can suffer. To safeguard operations, organizations need to proactively monitor the financial health of their suppliers, especially private ones, at least twice a year.

The automotive industry has been severely hit by supply chain disruptions, creating a domino effect of production delays, transport bottlenecks, and factory closures. These disruptions have hindered production and strained manufacturer-supplier relationships, highlighting the urgent need to strengthen supply chain resilience.