Fewer than 8% of businesses believe they have full control over their supply chain risks, according to a new study, 2025 WTW Global Supply Chain Risk Survey.
And this lack of control could be a contributing factor to the finding that 63% of respondents report higher-than-expected losses.
Top Rising Risks
Geopolitical factors have risen as a major concern, with 19% of businesses ranking them as their top risk. This reflects the growing impact of international instability, political tensions and trade disruptions on supply chain vulnerability. Inflation is also emerging as a top concern, identified by 18% of businesses, as rising operational costs, particularly in procurement and transportation, strain supply chain strategies.
Cybersecurity has surged in importance, rising from 5% in 2023 to 16% in 2025, which matches our findings in the recent WTW Emerging and Interconnected Risks Survey. Raw material shortages have also gained prominence, with concerns increasing from 7% to 14%, driven by material scarcity and geopolitical factors.
Regulatory changes have climbed as a top risk, rising from 4% to 14%, while concerns about transport issues and driver shortages have diminished.
Environmental risks, while still significant, have slightly declined in urgency, with 17% of businesses listing them as top priorities, down from 18% in 2023.
Health-related risks have become less of a concern. Only 13% of businesses now view pandemics and health crises as a top issue, down from 23% in 2023. This shift suggests a decreasing urgency regarding health threats, with businesses focusing more on immediate geopolitical and economic challenges.
In terms of opportunities, digital transformation and data availability are becoming top priorities. The emphasis on digital transformation has grown from 11% in 2023 to 15% in 2025, while collaboration with suppliers and customers remains essential.
However, the focus on hybrid work has decreased as businesses adapt to post-pandemic norms. Strategic planning continues to be a priority, with an ongoing focus on aligning supply chain goals with broader organizational objectives.
In response to evolving market conditions, organizations are making continuous adjustments to their supply chain strategies. The number of businesses reporting complete overhauls has decreased slightly, while the number of those implementing significant changes has grown. The trend toward incremental adjustments remains dominant. Investments in supply chain resilience are seen as somewhat effective,
though fewer organizations report transformative improvements.
Businesses are increasingly focusing on executive oversight and specialized risk management
teams, although gaps remain in comprehensive risk management strategies,
presenting opportunities for future development.
