Skip to content
Search AI Powered

Latest Stories

Supply chains swapped pandemic impacts for new risks in 2023

Sphera risk report tracks changes in finance, weather, and corporate governance

sphera Screenshot 2024-03-05 at 3.58.08 PM.png

Corporate supply chains swapped one set of challenges for another in 2023, as pandemic impacts moved into the rearview mirror, only to be replaced by a range of other risks like inflation and rising interest rates, natural hazard events, and ESG-related risks such as human rights violations and labor practices, a report says.

The analysis comes from a “Supply Chain Risk Report” produced by Sphera, a Chicago-based provider of environmental, social and governance (ESG) performance and risk management software, data, and consulting services.


The report is based on data from Sphera's Supply Chain Risk Management (SCRM) software, which uses artificial intelligence (AI) to scan on a monthly basis more than 15 billion reputable news articles, commercial and government data sources, and 1 million customer and supplier sites around the world. 

The report identified challenges in finance, weather, and corporate governance:

  • more than one-third (36%) of the financial risk notifications warned of worsening revenue and growth outlook, tied to high inflation rates in the EU and U.S. that eroded suppliers' purchasing power, with insolvency under self-administration going up 23% and bankruptcies increasing 42%.
  • natural hazard events hit supply chains hard in 2023 with warnings for tornadoes climbing by 45%, hailstorm warnings increasing by 26%, and tropical cyclone warnings going up by 6%. Those events particularly affected industries such as agriculture, energy, and transportation
  • ESG-related risks in supply chains continued to rise in 2023, with indicator messages for the category rising 6% in volume as human rights notifications increased 12%, labor practice issues rose 13%, and ESG-related issues related to violations of environmental practices went up 1%.

"Risk exposure is dynamic, and constantly evolving supply chain risks cause ever-increasing market volatility,” Paul Marushka, Sphera's CEO and president, said in a release. “By optimizing the supply chain composition and diversifying suppliers, companies can better manage the uncertainty that comes with supply chain disruptions. To do this, organizations need a solution that provides actionable insights for proactive risk monitoring that enables them to get ahead of disruptive events.”

 

 

 

The Latest

More Stories

Warehouse automation project orders fell 3% in 2024

Warehouse automation project orders fell 3% in 2024

Warehouse automation orders declined by 3% in 2024, according to a February report from market research firm Interact Analysis. The company said the decline was due to economic, political, and market-specific challenges, including persistently high interest rates in many regions and the residual effects of an oversupply of warehouses built during the Covid-19 pandemic.

The research also found that increasing competition from Chinese vendors is expected to drive down prices and slow revenue growth over the report’s forecast period to 2030.

Keep ReadingShow less

Featured

screenshot of kodiak hub software

Swedish supply chain tech firm Kodiak Hub expands to U.S.

The Swedish supply chain software company Kodiak Hub is expanding into the U.S. market, backed by a $6 million venture capital boost for its supplier relationship management (SRM) platform.

The Stockholm-based company says its move could help U.S. companies build resilient, sustainable supply chains amid growing pressure from regulatory changes, emerging tariffs, and increasing demands for supply chain transparency.

Keep ReadingShow less

Logistics gives back: February 2025

Here's our monthly roundup of some of the charitable works and donations by companies in the material handling and logistics space.

  • For the sixth consecutive year, dedicated contract carriage and freight management services provider Transervice Logistics Inc. collected books, CDs, DVDs, and magazines for Book Fairies, a nonprofit book donation organization in the New York Tri-State area. Transervice employees broke their own in-house record last year by donating 13 boxes of print and video assets to children in under-resourced communities on Long Island and the five boroughs of New York City.
  • Logistics real estate investment and development firm Dermody Properties has recognized eight community organizations in markets where it operates with its 2024 Annual Thanksgiving Capstone awards. The organizations, which included food banks and disaster relief agencies, received a combined $85,000 in awards ranging from $5,000 to $25,000.
  • Prime Inc. truck driver Dee Sova has donated $5,000 to Harmony House, an organization that provides shelter and support services to domestic violence survivors in Springfield, Missouri. The donation follows Sova's selection as the 2024 recipient of the Trucking Cares Foundation's John Lex Premier Achievement Award, which was accompanied by a $5,000 check to be given in her name to a charity of her choice.
  • Employees of dedicated contract carrier Lily Transportation donated dog food and supplies to a local animal shelter at a holiday event held at the company's Fort Worth, Texas, location. The event, which benefited City of Saginaw (Texas) Animal Services, was coordinated by "Lily Paws," a dedicated committee within Lily Transportation that focuses on improving the lives of shelter dogs nationwide.
  • Freight transportation conglomerate Averitt has continued its support of military service members by participating in the "10,000 for the Troops" card collection program organized by radio station New Country 96.3 KSCS in Dallas/Fort Worth. In 2024, Averitt associates collected and shipped more than 18,000 holiday cards to troops overseas. Contributions included cards from 17 different Averitt facilities, primarily in Texas, along with 4,000 cards from the company's corporate office in Cookeville, Tennessee.

Catch a thief, stop a vandal

Electric vehicle (EV) sales have seen slow and steady growth, as the vehicles continue to gain converts among consumers and delivery fleet operators alike. But a consistent frustration for drivers has been pulling up to a charging station only to find that the charger has been intentionally broken or disabled.

To address that threat, the EV charging solution provider ChargePoint has launched two products to combat charger vandalism.

Keep ReadingShow less
ATRI releases annual list of nation’s top truck bottlenecks

ATRI releases annual list of nation’s top truck bottlenecks

New Jersey is home to the most congested freight bottleneck in the country for the seventh straight year, according to research from the American Transportation Research Institute (ATRI), released today.

ATRI’s annual list of the Top 100 Truck Bottlenecks aims to highlight the nation’s most congested highways and help local, state, and federal governments target funding to areas most in need of relief. The data show ways to reduce chokepoints, lower emissions, and drive economic growth, according to the researchers.

Keep ReadingShow less