The supply chain is an integral part of any business, and its performance can have a significant impact on the success or failure of that organization. As such, it's important to stay up-to-date with the latest statistics related to supply chains to make informed decisions about how best to manage them.
This blog post will explore 20 key facts and figures regarding global supply chain management, from revenue growth achieved by high performing companies through disruptions caused by COVID-19 and beyond.
We'll also look at trends in digitization, automation, risk assessment practices as well as blockchain technology adoption within this sector. By understanding these stats better we can gain valuable insights into how our own organizations should approach their operations for maximum efficiency and profitability.
Supply Chain Statistics Overview
Companies in the top-quartile for supply chain digitization have 20% lower operating costs and 11% greater EBIT.
This statistic is a powerful testament to the value of supply chain digitization. It shows that companies who have embraced digital solutions for their supply chain operations are reaping the rewards in the form of lower operating costs and higher profits. This is a compelling argument for businesses to invest in digital supply chain solutions and demonstrates the potential for significant cost savings and increased profitability.
Global supply chain management software revenues were estimated to be $15 billion in 2020.
This statistic is a testament to the immense value of supply chain management software in today's world. It highlights the fact that businesses are increasingly relying on these solutions to streamline their operations and maximize efficiency. This is a clear indication that supply chain management software is becoming an integral part of the modern business landscape, and its importance is only expected to grow in the future.
Over 80% of businesses have experienced a supply chain disruption in the past 12 months.
This statistic is a stark reminder of the fragility of supply chains in the modern world. It highlights the fact that even the most well-prepared businesses are vulnerable to disruption, and that supply chain management is an increasingly important factor in business success. This statistic is a powerful illustration of the need for businesses to take proactive steps to ensure their supply chains are resilient and secure.
71% of organizations have more than 50 suppliers in their supply chain.
This statistic is indicative of the complexity of modern supply chains. With so many suppliers, organizations must be able to effectively manage their relationships and ensure that their supply chain is running smoothly. This statistic is a testament to the importance of having a well-structured and efficient supply chain in order to remain competitive in today's market.
Over 50% of firms believe that increased digitization and automation will increase the resilience of their supply chains.
This statistic is a testament to the fact that businesses are recognizing the importance of digitization and automation in order to ensure the resilience of their supply chains. It shows that companies are taking proactive steps to ensure that their supply chains are able to withstand any disruptions that may arise. This is an encouraging sign that businesses are taking the necessary steps to ensure that their supply chains remain reliable and efficient.
Supply chain risk management can add up to 70% additional value by reducing costs.
This statistic is a powerful reminder of the potential that supply chain risk management holds for businesses. By reducing costs, it can add up to 70% additional value, making it an invaluable tool for any organization looking to maximize their profits. This statistic is a testament to the importance of supply chain risk management and its ability to help businesses reach their goals.
By 2025, the use of robotics in the supply chain was expected to grow by 14% annually.
This statistic is indicative of the increasing importance of robotics in the supply chain. As the use of robotics grows, it is likely to have a significant impact on the efficiency and effectiveness of the supply chain. This could lead to improved customer service, reduced costs, and increased productivity. As such, this statistic is an important one to consider when discussing the current and future state of the supply chain.
Global spending on blockchain technology solutions related to the supply chain is expected to reach $6.6 billion by 2023.
This statistic is a testament to the growing importance of blockchain technology in the supply chain. It shows that businesses are increasingly recognizing the potential of blockchain to streamline and secure their supply chain operations, and are investing heavily in its implementation. This is a clear indication that blockchain is becoming an integral part of the supply chain, and is likely to remain so in the years to come.
In 2020, 53% of supply chain professionals indicated that the top risk to their manufacturing supply chain is raw material issues.
This statistic is a telling indication of the current state of the manufacturing supply chain. It highlights the fact that raw material issues are a major concern for supply chain professionals, and that they are actively looking for ways to mitigate this risk. This information can be used to inform strategies for improving the supply chain and ensuring that raw material issues are addressed in a timely and effective manner.
Diversifying supply chain locations can reduce costs by approximately 5%.
This statistic is a powerful reminder of the potential savings that can be achieved by diversifying supply chain locations. By spreading out the supply chain, businesses can reduce costs and increase efficiency, making it a win-win situation. This statistic is a great example of how supply chain optimization can lead to significant cost savings.
In 2020, 43% of companies reported increased earnings, with an average of 23% attributed to sustainable supply chain initiatives.
This statistic is a testament to the power of sustainable supply chain initiatives. It shows that companies are reaping the rewards of investing in sustainable practices, with an average of 23% increase in earnings. This is a clear indication that sustainability is not only beneficial for the environment, but also for businesses. It is a strong argument for companies to prioritize sustainability in their supply chain operations.
By 2023, at least 50% of large global companies will use AI, advanced analytics, and IoT in supply chain operations.
This statistic is a clear indication that the use of AI, advanced analytics, and IoT in supply chain operations is becoming increasingly important. It shows that companies are recognizing the potential of these technologies to improve their supply chain operations and are investing in them. This is an important trend that businesses should be aware of, as it could have a significant impact on their operations and bottom line.
Using blockchain technology for supply chain management could reduce transaction costs by 35%.
This statistic is a game-changer for supply chain management, as it demonstrates the potential for blockchain technology to drastically reduce transaction costs. By leveraging the power of blockchain, businesses can streamline their supply chain processes and save money in the process. This could be a major boon for companies looking to maximize their efficiency and profitability.
Conclusion
The statistics presented in this blog post demonstrate the importance of supply chain management and its potential to increase revenue, reduce costs, and improve efficiency. Companies that invest in digitization, automation, risk assessment and diversification can benefit from increased resilience against disruptions while also reducing expenses. Additionally, blockchain technology has the potential to revolutionize supply chains by significantly decreasing transaction costs. As these trends continue into 2021 and beyond it is clear that companies must prioritize their supply chain operations if they wish to remain competitive within their industries.
References
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2. - https://www.bcg.com
3. - https://www.mckinsey.com
4. - https://www.weforum.org
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6. - https://www.gartner.com
7. - https://www.fortune.com
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10. - https://www.statista.com
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ZipDo, cited June 2023: Supply Chain Statistics
