June’s Material Handling Minute: Rethinking Supply Chain Risk – An Expert Take on the 2025 WTW Survey

In News by Rachel Leadholm

For this month’s Material Handling Minute, we’re breaking down a recent article from DC Velocity discussing the 2025 WTW Global Supply Chain Risk Survey, published this month by British insurance and risk management firm WTW. Here are MPC’s Key takeaways:

A Shifting Risk Landscape

The 2025 WTW Global Supply Chain Risk Survey shows a dramatic shift in what keeps executives up at night. Geopolitical risk now tops the list at 19%, closely followed by inflation at 18%, with cybersecurity surging from just 5% in 2023 to 16% in 2025 (dcvelocity.com+6dcvelocity.com+6thescxchange.com+6en.wikipedia.org+3thescxchange.com+3wsj.com+3).

This pivot away from pandemic-related concerns – which dropped from 23% to 13% – reflects a broader recalibration toward long-term strategic risks. Experts see this as a pivotal moment: organizations are entering a phase of proactive resilience.

The Invisible Risks We Must Guard Against

Despite progress, under 8% of companies feel they fully control supply chain risks, while a staggering 63% reported higher-than-expected losses (thescxchange.com+2dcvelocity.com+2thescxchange.com+2). The unpredictability of global logistics today underlines the need for robust frameworks, not isolated fixes.

This requires a multidimensional approach, including…

  • Geopolitical monitoring: from shifting trade policies to regional instability.
  • Inflation tracking: cost modeling that factors in dynamic commodity and labor markets.
  • Cyber-physical security: extending digital security practices to supplier ecosystems and contractual safeguards.

Building Resilience Through Technology & Collaboration

The Survey underlines how companies are doubling down on digital tools, supply chain mapping, and cross-functional collaboration. We’ve seen firsthand how supply chain mapping, powered by AI and predictive analytics, exposes hidden risks across multiple tiers – enabling firms to act before issues emerge. 

Meanwhile, fostering supplier collaboration – from joint risk modeling to contract-level cybersecurity clauses – has emerged as a cornerstone of resilient networks.

From Tactical Fixes to Strategic Planning

While some companies still lean on incremental improvements, others are pivoting toward executive-led risk oversight, building internal risk teams, and developing proprietary tools (wsj.com+5dcvelocity.com+5thescxchange.com+5).

This marks a shift from reactive insurance coverage or budget-driven approaches to embedded, strategic risk capabilities. This transition is a critical milestone: only when risk becomes a board-level priority can supply chains withstand shocks.

Next Steps for Supply Chain Leaders

Based on these findings, here are five game-changing actions recommended for supply chain executives: 

  1. Audit your risk landscape monthly: Embed monitoring of geopolitical indices, CPI, cybersecurity breaches, and regulatory signals.
  2. Invest in supply chain digital twins: Tools that simulate “what-if” scenarios and stress-test vulnerabilities provide invaluable foresight.
  3. Jointly manage risk with suppliers: Go beyond audits – collaborative scenario planning and contract-level cybersecurity protections are essential.
  4. Establish an internal Crisis Communications Plan (MPC can help!): Align supply chain, IT, legal, and finance leadership under a single risk management umbrella. 

The WTW survey underscores a stark reality: modern supply chains face tectonic shifts – from geopolitics and inflationary pressures to cyber threats and the volatility of raw materials. But organizations that embrace intelligence-driven modeling, cross-channel collaboration, and executive-backed risk frameworks will not just survive – they’ll outperform.

As both shock absorbers and strategic enablers, resilient supply chains are today’s competitive differentiator. The time to rethink risk isn’t tomorrow – it’s now.