2019 Supply Chain Statistics | 10 MORE Shocking Figures

20 December 2019 - 16:01, by , in Jigsaw Business Group, Jigsaw Supply Chain, Comments off

Earlier this year, we brought you our Top 10 Shocking Supply Chain Statistics. Here’s ten more 2019 supply chain statistics that will surprise you and make you question how your business compares to these figures.

1. 57% of Businesses Have Poor Visibility Across Their Supply Chain

Only 23% of businesses have a credible mapping system, because of this, many are susceptible to supply chain disruptions.

% who use supply chain mapping system

Jigsaw Business Group will provide your business with the help it needs to implement a credible supply chain mapping system. We have experience of managing our clients’ entire supply chain, managing 100’s of suppliers remotely. We will implement a mapping system that allows visibility throughout your supply chain.

Source: (Logistics Bureau, 2019)

2. Top Cause of Disruption Is…

The most common sources of supply chain disruptions are:

  • Cyber-attacks and data breaches (61%)
  • Unplanned IT outage (44%)
  • Loss of talent (21%)

(Source: BCI Supply Chain, 2019)

We discussed the impacts that a supply chain without a contingency plan can have on a business in a blog post earlier this year. When a global airline encountered a system-wide computer failure, leaving 25,000 holiday-makers grounded. Investment into procedures such as APQP allows your business to analyse and mitigate failure modes.

Your business can use this framework when designing a new service and monitoring changes made when the service is in use. We have experience in helping businesses prevent disruptions within their supply chains. Jigsaw Business Group are proud to boast a specialist recruitment service that ensures your business will maintain operations despite disruptions caused by loss of talent.

Contact us to discuss how your business can make these changes and avoid supply chain disruptions.

3. Better Supply Chain = Better Customer Service

70% of industry professionals say that an effective supply chain creates better customer service. Investing in your business’ supply chain allows better communication with your customers. Technology means that your customers can track an order’s progress from confirmation to delivery, and so, boosts customer satisfaction.

This builds the relationship between your business and your customers and will lead to repeat orders.

(Source: BCI Supply Chain, 2019)

customers track order progress4. Transition to AI

More than half of the G2000 manufacturing companies have stated that artificial intelligence will be used to manage their supply chains by 2024. That’s over 1000 of the world’s largest businesses, so why would your business not do the same? Jigsaw Business Group are here to determine which elements of AI fit your business.

(Source: BCI Supply Chain, 2019)

5. U-Turn on Supply Chain Innovation Spending

2019 was the year that bucks the three-year trend of declining investment in supply chain innovation. With 95% of the 1,000+ supply chain professionals who took part in a global survey stating that their business would improve their efforts towards their supply chain.

(Source: MHI, 2019)

6. 40%+ Experienced up to 5 Major Supply Chain Incidents that Led to a Disruptionnumber of supply chain incidents over 12 months

41.9% of businesses surveyed experienced between 1 to 5 supply chain incidents, that ultimately, led to a significant disruption. The most alarming figure however, is that 22.6% of businesses surveyed were unaware of supply chain incidents that may have cause significant disruptions within their operations. Jigsaw Business Group are experienced in improving our clients’ supply chains, boasting a track record of launching innovation in supply chain.

(Source: BCI Supply Chain, 2019)

7. Loss of Productivity Leads in Impacts of Poor Supply Chains

Over the last 12 months, the largest impacts and consequences arising from supply chain disruptions are:

Consequences of supply chain disruption

 

  • Loss of Productivity (50.3%)
  • Customer Complaints (41.5%)
  • Increase in Cost of Working (39.9%)
  • Loss of Revenue (36.1%)

(Source: BCI Supply Chain, 2019)

8. 3x Faster Cash-to-Cash Cycles When Supply Chain is Optimal

supply chain optimisation

Businesses with optimal supply chains have 15% lower supply chain costs, less than 50% of the inventory holdings, and cash-to-cash cycles at least three times faster than those not focused on supply chain optimization.

(Source: Logistics Bureau, 2019)

9. Pressure on Businesses to Improve Delivery Capabilities

supply chain deliver goods faster

Finally, some good news! 73% of 300 supply chain professionals experienced pressure to improve and expand their business’ delivery capabilities. Additionally, 55% faced expectation to process and deliver goods faster, with 44% believing that this is the hardest challenge to meet.

(Source: CIPS, 2019)

10. Jigsaw Business Group – Supply Chain Statistics

In 2019, Jigsaw Business Group assisted the operations of clients in 10 countries, and continued business relationships with 9 of the top 50 automotive suppliers in the UK. We have overseen the improvement of our clients’ supply chains and have seen huge results.

2019 supply chain JBG statistics

In 2019, we were able to help our clients achieve:

  • 50% reduction in inventory.
  • 75% reduction of supplier launch management.
  • Up to 30% cost savings on material costs.

This is just an example of the work we have carried out in 2019. Our achievements have meant our clients have seen huge improvements across their supply chains, operating to a much higher standard of efficiency. We are proud of our work in 2019 and look forward to continuing in 2019 with our existing clients and new customers!

Contact Us

Jigsaw Business Group are supply chain experts. We have provided our customers with the best practical solutions for their supply chain challenges. Contact us at [email protected], or 0191 228 6596 to discuss how we can improve your business’ supply chain.

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