Snapshot
- Senior executives are increasingly prioritising supply chain risk management, with 80% seeing trade trends as extremely important to business strategy.[1]
- However, only 3% of businesses feel truly prepared to adapt to the intersected trends of Trade, Technology, Weather and Workforce which all have implications for supply chain risk management.[1]
- Practical tools, analytics and innovative insurance solutions are available to help leaders triage risks, prioritise resources, and build resilience.
In today’s complex trading environment, supply chain risk is a top concern for business leaders.[3] From the increased impacts of climate change and heightened geopolitical issues, to the vulnerabilities introduced by digital-enabled systems, supply chain disruptions are becoming more complex and costly.[4] Organisations should consider investing in resiliency to safeguard against disruptions and help with business continuity in a rapidly changing environment.
At the Aon Insights Series 2025 Pacific event, Aon’s Terence Williams, Head of Commercial Risk Solutions, Asia Pacific and Adam Peckman, Head of Risk Consulting and Cyber Solutions, Asia-Pacific explored how organisations can formulate a thorough understanding of their supply chain, lean on data and analytics, and set long-term risk-management goals to prepare for and mitigate these risks effectively. Read on for session highlights.
The Preparation Gap
Despite widespread awareness, many businesses can feel unprepared for the complexity of modern supply chains. Not having a top-down understanding of supply chain risks may lead to the discovery of vulnerabilities only after a disruptive event. Mapping all suppliers and dependencies can help avoid concentration risks and support business continuity.
The Shift to AI and Digitalisation
AI is becoming a central focus for supply chain management, driving both efficiency and new vulnerabilities.[2] Digitalisation may offer greater efficiency and control but could also increase dependency on technology vendors and create new cyber risk exposures. Research from Aon shows nearly 30% of cyber claims in 2024 originate from supply chain partners.[4]
These figures underscore the potential value of robust digital risk management approaches across the supply chain.
“Managing cyber risk in the supply chain starts with visibility. Know your vendors, understand their controls — every link matters.”
Adam Peckman, Head of Risk Consulting and Cyber Solutions, Asia-Pacific, Aon
Geopolitics and Climate: External Shocks
Geostrategic tensions, territorial disputes, and regulatory changes are reshaping supply chain strategies, especially in Asia Pacific.[5] Climate change is also contributing to regulatory barriers and market access challenges. Leaders should consider staying agile, monitoring external risks and adapting supply chain configurations accordingly.
Practical Steps: Analytics, Tools, and Innovative Solutions
Risk leaders may benefit from moving beyond theory and adopting practical tools. Supply chain risk diagnostics, financial modelling, and analytics may help quantify exposures and guide capital allocation. Innovative solutions such as captives and parametric insurance can offer rapid access to capital and tailored protection. These approaches help leaders to triage risks, prioritise resources, and build resilience.
“Increasingly unpredictable disruptions mean organisations must rethink supply chain risk management. Balancing efficiency with resilience is key.”
Terence Williams, Head of Commercial Risk Solutions, Asia Pacific, Aon
As organisations navigate an era of heightened volatility, rethinking supply chain risk management is becoming increasingly important — prioritising resilience, transparency and adaptability as well as efficiency. Supply chain resilience is becoming an important factor in business continuity, competitiveness and long-term success. By embracing analytics, mapping dependencies, and leveraging new risk transfer solutions, business leaders can enhance their ability to manage complexity. The time to act is now — future-proof your supply chain to help unlock new growth opportunities.
How Aon Can Help
Aon offers an integrated, client-centric package of solutions, each addressing a critical aspect of supply chain risk management. Together these solutions provide a robust foundation for identifying, assessing and mitigating risks across your entire supply chain ecosystem.
Explore our integrated supply chain risk management solutions or contact us to talk to our specialists today.
More Insights
Learn more with Aon’s latest insights on supply chain risk and preparing for unplanned events and volatile supplier performance.
- Supply Chain or Distribution Failure: Navigating the New Normal | Global Risk Management Survey
- Steering Trade and Supply Chains Amid Weather Challenges
- High Stakes in High Tech: Securing the Technology Supply Chain
[1] Aon, Business Decision Maker Survey, 2024
[2] Aon, Global Risk Management Survey, 2025
[3] KPMG, Navigating increasingly complex supply chains: Five trends shaping the economic landscape, 2025
[4] Aon, Navigating threat complexity, Global 2025 Cyber Risk Report
[5] Aon, Global Risk Management Survey, APAC, 2025
© 2025 Aon Risk Services Australia Limited ABN 17 000 434 720 | AFSL 241141 (Aon).
The information provided in this article is current as at the date of publication and subject to any qualifications expressed. Whilst Aon has taken care in the production of the article on this website and the information contained in this, has been obtained from sources that Aon believes to be reliable, Aon does not make any representation as to the accuracy of information received from third parties and is unable to accept liability for any loss incurred by anyone who relies on it. The information contained herein is intended to provide general insurance related information only. It is not intended to be comprehensive, nor should it under any circumstances, be construed as constituting legal or professional advice. You should seek independent legal or other professional advice before acting or relying on the content of this information. Aon will not be responsible for any loss, damage, cost or expense you or anyone else incurs in reliance on or use of any information in this article.
