People the biggest supply chain challenge in next 10 years – SCM World survey

28 June 2015

People, water and energy will be the biggest resource challenges for supply chains over the next decade, according to research.

A survey of 620 executives from around the globe by SCM World looked at concerns and perceived challenges about natural resources including water, energy, land, materials and minerals and people, and their impact on the supply chain.

It found water, energy and people are nearly tied when respondents were asked to identify the biggest challenge facing supply chain strategy in the next 10 years. The root concerns surrounding energy are about cost, while those driving water worries are clearly focused on shortages.

‘People’ was most commonly selected as the number one challenge overall, with many comments bemoaning a shortage of skills, rather than limited low-cost labour.

Among more senior executives, there is a distinct bias toward citing people as a more challenging resource concern than either energy or water. Top executives look to people skills in their organisations for solutions to other natural resource problems, SCM World said.

According to the poll, the top strategies to manage long-term resource planning challenges include supply network modelling, portfolio management techniques, and political engagement.

Calderbridge, Seascale
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Bramwith Consulting
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