Many Companies Risk Supply Chain Disruption

LEHI, UT -- Supply chain risk is outpacing many organizations’ ability to anticipate, understand and respond before disruptions occur, according to a new study by Avetta, a developer of software for contractor risk management and supply chain safety.

The June 2026 survey of 500 U.S.-based senior leaders in procurement, supply chain, operations and environmental health and safety found that while organizations recognize supply chain risk is becoming more frequent and complex, many still lack the centralized visibility, connected processes and predictive capabilities needed to respond to these vulnerabilities with confidence.

“The key findings show the challenge isn’t simply that risk is increasing; it’s that many organizations are still trying to respond with disconnected systems, fragmented visibility and reactive processes,” said Abid Yousuf, Chief Customer Officer at Avetta. “Closing the readiness gap starts with giving leaders the ability to see risk sooner, act earlier and keep work moving safely and efficiently.”

More than three-quarters (77%) of respondents report that global supply chain and workforce risk has increased over the past 12 months, yet only 44% have fully centralized, real-time visibility into their third-party workforce, safety and compliance risk factors—leaving many organizations ill-equipped to respond effectively.

The consequences of this gap are tangible: 68% experienced workforce-related operational delays or shutdowns during the same period.

Additionally, the data reveals that:
• More than half (56%) rely on risk visibility that is delayed, fragmented or largely manual.
• Nearly two out of five (39%) identify risk only shortly before or after it has already affected operations.
• Limited visibility into third-party risk is the second most-cited (38%) barrier to effective vulnerability response overall.
• Compliance Demands Continue to Increase While Risk Management Remains Fragmented.

Nearly three-quarters (71%) of respondents say compliance requirements have grown more complex over the past year, with 42% indicating that this increased complexity is a leading barrier to effective risk response.

Yet nearly a quarter (24%) still rely on fragmented or manual risk management processes that hinder their ability to adjust to the evolving regulatory landscape.

Against this backdrop, 53% say compliance demands frequently divert time and resources from frontline safety work, creating tension between maintaining compliance and actually improving safety outcomes.

“Compliance will always matter, but compliance alone doesn’t necessarily create readiness,” Yousuf said. “The organizations making the greatest progress are treating compliance as one part of a broader strategy that brings safety, supplier performance and operational risk together instead of managing them in silos.”

AI Adoption is Widespread, but Deployment at Scale is Limited
Nearly every organization (97.2%) is using AI somewhere within their supply chain risk management lifecycle, but widescale deployment remains uneven, with only 38% saying AI is fully embedded across their operations. A larger contingent (51%) is using AI only in a limited capacity, while 11% remain in the early stages of adoption.

Organizations are most commonly using AI for:
• Supplier analysis (55%).
• Regulatory tracking (51%).
• Compliance measurement (50%).
• Predictive safety monitoring (46%).
• Job safety analysis (42%).

These findings suggest many organizations are still using AI to improve individual tasks rather than transform organization-wide decision-making, leaving significant opportunity to strengthen broader supply chain operational readiness.

Organizations are Investing in Readiness
In response to these challenges, organizations are prioritizing investments that improve their ability to anticipate, not simply react to risk. Greater visibility into third-party safety, sustainability and financial risk (52%) along with real-time monitoring and predictive analytics (48%) rank among the capabilities respondents believe will most strengthen their risk response. In addition, 50% identify improving predictive risk visibility as a top strategic priority for the year ahead.

“The next generation of supply chain leaders won’t be defined by how quickly they respond after a disruption occurs,” Yousuf added. “They’ll be defined by how well they anticipate risk, align stakeholders and keep work moving forward before disruptions take hold. That’s what true readiness makes possible.”

Taken together, these key findings suggest organizations are at an inflection point in how they address supply chain resilience. While many continue to rely on reactive, fragmented approaches to managing risk, the research indicates growing recognition that stronger visibility, connected processes and predictive capabilities are essential to ensuring their extended workforce is truly ready to work.

“Organizations can’t eliminate uncertainty, but they can become better prepared for it,” Yousuf concluded. “The next step isn’t simply responding faster to risk, it’s building readiness into everyday operations through greater visibility, stronger alignment and the ability to anticipate issues before they become disruptions.”

To learn about how Avetta helps organizations close the global readiness gap, go to www.avetta.com.