![]() ![]() ![]() ![]() Nearly all of the respondents (98%) consider operational challenges as major disruptors in their supply chains.We have divided these disruptors into five categories-environmental, geographic, operational, technological, and macroeconomic-which impacted between 32% and 98% of our survey respondents’ supply chain operations (figure 1). Prepandemic supply chain vulnerability, due largely to the geographic concentration of component manufacturing and critical minerals mining, has been compounded by the effects of the pandemic and the Russian invasion of Ukraine. Multiple disruptors impact the electric power supply chainĪ combination of disruptors is driving supply chain gridlock and impacting end-to-end operations in the electric power sector. Using these insights, this report takes an in-depth view of how the electric power sector can improve its supply chain security, sustainability, and resilience. The findings were supplemented by interviews with executives and leaders in utilities and other electric power providers. To better understand the types of supply chain disruptors, their impact on the sector’s operations, and the strategies used to overcome these disruptions, Deloitte surveyed more than 50 electric power and renewable sector executives in the United States. They are working to develop more secure and sustainable supply chains, while managing third-party risk to ensure resilience in the face of future disruptions. Some are integrating supply chain management deeper into business planning and involving supply chain managers in the capital planning process. As a result, many electric power and renewable energy companies are revisiting supply chain strategies and rebooting their approach to supply chain risk management-and their boards increasingly expect it. 2 They have also widened the gap between demand and supplies of electrical equipment and components, slowing the clean energy transition. These disruptions-ranging from logistics bottlenecks to shortages of raw materials and components and labor shortages-have resulted in rising costs and a scarcity of essential electric supplies. ![]()
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