Most define supply chain management as processes that help businesses improve efficiency and promote customer satisfaction.

While there is some truth to that, your system also heavily relies on risk management and mitigation.

Discover the importance of preventing infrastructure-related disruptions in an era of constant disruption.

The Effect of Disruption on the Supply Chain

The COVID-19 pandemic demonstrated how global disruptions can wreck supply chains, renewing calls for a better supply chain. A study points to building sustainable and resilient operations as a way of being more adaptive, especially on a global scale. However, further research is needed to see its effects and understand how to implement it.

This post-pandemic period is also a testament to how recovery is nonlinear. Almost 47% of UK businesses experienced more supply chain disruptions in the last 12 months. Some point toward high inflation and expensive energy costs, while others blame the geopolitical tension affecting all organisations.

Regardless of the exact cause, supply chains have been exposed as rather fragile. Disruptions can lead to delays and shortages, which can create customer dissatisfaction and damage business reputation. Increased costs from transportation and manufacturing also become more apparent in the budget.

How Infrastructure Resilience is a Necessity

Resilient infrastructure has been an effective answer in redefining supply chain continuity. Depending on its design, it can address a multitude of emergencies. For instance, climate-resilient supply chains can withstand extreme weather events and seismic activity.

Such infrastructure resilience can also help manage climate change. Temperature extremes have become regular occurrences and have intensified over the decades. The hottest summer days have warmed almost twice the temperature compared to the average summer days between 1961 and 1990.

There’s also the matter of aging infrastructure within the UK. The nation is investing tens of billions of pounds into old and poorly maintained infrastructure. Even the IT systems are crumbling, which is a concern when looking through the lens of the digital age.

While not all businesses succumb to such stubbornness within their own supply chains, it is vital to use this news as a sign to fast-track infrastructure resilience.

Making Infrastructure Changes a Reality

Infrastructure resilience strategies can take various forms. From a construction point of view, it’s vital to build spaces with better structural integrity. Understanding better practices and adapting to the landscape can help with this.

Flooding is one of the most devastating natural disasters, causing major damage to infrastructure, roadways, bridges, and, consequently, transport routes and supply chains. When these disasters are paired with geohazards such as landslides and sinkholes, the economic instability and safety concerns for the public and your workers increase tenfold. The aftermath of a flood often leaves weakened foundations, unstable infrastructure and compromised transportation networks, needing immediate and strategic intervention to ensure smooth operation and timely delivery.

It’s crucial to build an inventory that can meet demands without excessive stock. That way, it wouldn’t exhaust too much of your financial or material resources.

Resilience also helps to build stronger relationships with manufacturers, suppliers and others. Such trust and communication are vital when coordinating a response should a natural disaster or any other incident strike.

Meanwhile, leveraging technology is critical when it comes to digital infrastructure. Developments like AI, IoT, and blockchain can improve data visibility in real time and optimise supply chain management processes.

Those same technologies can also help with automation and predict potential problems. Both solutions would help secure workflows from making internal mistakes that could create a gap for external disruptors.

Preventing Infrastructure-Related Disruptions

Preventive action is often ideal when dealing with the supply chain, as it reduces the chances of external disruptions denting operations. Here’s an overview of several beneficial strategies:

• Supply chain vulnerability assessment: Similar to evaluating critical suppliers for post-pandemic resiliency, you should analyse their general resiliency. Look at weaknesses like natural disasters and cyberattacks that can disrupt the business.

• Supply chain continuity planning: Once risks have been identified, it’s important to assess their likelihood and implement mitigation strategies. Aim to keep operations afloat even if disruptors occur through diversification in suppliers and flexible logistics.

• Infrastructure failure contingency planning: Should an organisation waver in its infrastructure resilience, prepare response and recovery procedures. Even digitally, businesses are encouraged to form cyberattack contingency plans for future incidents.

Bring More Infrastructure Resilience to Supply Chains

Supply chains are prone to disruptions and organisations must recognise the protective measures that can help. Infrastructure resilience, as long as it’s properly implemented, can open the door to continuous operations.

Rose Morrison

Rose Morrison is an experienced writer with 10 years of experience analyzing industry trends and technological innovations. As managing editor at Renovated, she focuses on optimizing processes and improving efficiency through technology, skills directly applicable to the complexities of the IT supply chain. Rose brings her expertise to IT Supply Chain, offering insights into how strategic IT management, automation, and data analytics can streamline operations, enhance security, and drive resilience in the digital supply chain.