Exclusive EventWatchAI Data shows spike in compliance & ESG Issues, labor disruptions, and extreme weather events.
Resilinc, the leading provider of supply chain resiliency solutions has unveiled new data highlighting the primary drivers of supply chain disruptions during the first half of 2024. From January through June, Resilinc’s EventWatchAI platform reported a total of 10,629 supply chain disruptions, with the Life Sciences, Healthcare, General Manufacturing, High-Tech, and Automotive industries bearing the brunt of the impact. Notably, the overall number of disruptions grew 30% over H1 of last year.
The top ten reported disruptions in the first half of 2024 included:
- Factory Fires
- Labor Disruptions
- Mergers & Acquisitions
- Leadership Transition
- Factory Disruption
- Business Sale
- Legal Action
- Recall
- Extreme Weather
- Cyber Attack
While the number of disruptions notably decreased in some historically high-risk areas like factory fires (down 21%), emerging compliance and ESG risk areas experienced substantial year-over-year increases. Regulatory Changes jumped an astounding 185%, Fines increased 82%, Legal Action grew 43%, and Labor Violations shot up 144%. Many of these increases can be attributed to 2024 ESG legislation like the German Supply Chain Due Diligence Act, Canada’s Modern Slavery Act, EU Corporate Sustainability Reporting Directive, EU Deforestation Regulation, and new PFAS regulations.
