Supply chain resilience and transparency have never been under greater scrutiny. As such, product brands are embracing new responses to traceability and compliance.
In a world expecting responsiveness, resilience, cost effectiveness, and sustainability in equal measure, resolving competing demands is a balancing act. Product companies must adapt to new regulations and sentiment, most notably around transparency, resulting in changes to systems and operational footprints. Yet supply chains and markets remain globalized and worldwide distribution networks are the norm, even as local specifics remain.
Products and parts may not be suitable for certain markets, as in the case of some notable SUV models in the US, where airbags fail to meet national standards.
Extended supply chains and fragmented markets exacerbate gray market and counterfeit sales. The electronics industry loses $58 billion annually to trade diversion, and the unauthorized refurbishment and resale of parts is widespread in many sectors. Fake pesticides cost agrochemical companies over $5 billion per year and create health risks. 3D printing has made creating fake parts, from aviation spares to security seals, even easier.