A full return to "prepandemic normalcy remains unlikely in 2024," but turbulence from supply chain disruptions is weakening, according to a new stability index.
The Association for Supply Chain Management and KPMG released their latest findings on supply chain stability April 9. Fragility continues to exist in supply chain management, but 2023 noted strong improvements in overall stability and resiliency, the index found.
Recent geopolitical factors and challenges in the nation's supply chain include attacks on ships in the Red Sea and cross-border patrol closures between Mexico and the U.S. However, disruptions from the bridge collapse in Baltimore "won't be as intense as initially thought," the organizations said in a news release.
There were also encouraging results from stronger reliance on Mexico and Canada, or a reduction in offshoring.
Based on these findings, the organizations listed three areas that will need more attention in the near future: inventory optimization, automation and the future of labor, and ongoing logistics challenges.