Why global supply chain disruptions won’t get better soon

New Delhi: What began as cleaning supply and home office technology shortages have since expanded into delays and scarcity for everything, from consumer appliances and electronics to automobiles in the pandemic.
According to global market research firm Forrester, more companies are revealing that these shortages are prompted by disruptions in their Tier 1 or downstream supply chains, and it’s not likely to get better anytime soon due to systemic risk.
“Systemic risks do not take turns; they often trigger one another and can materialise all at once. To fix the problem, businesses must understand the top systemic risks shaping global supply networks,” said Forrester senior analyst Alla Valente.
Semiconductor chips have become the basic ingredient in a wide variety of products. They include automobiles, a market the media has been highlighting as the ‘poster child’ for the chip shortage.
“The impact extends far beyond autos, home appliances, consumer electronics, medical devices, farm equipment, and even toys. It is hitting corporate IT hard, as data centre equipment, cloud services, PC, and even Apple struggle to get these essential parts,” said Vice-President and Research Director Glenn O’Donnell.
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