The Supply Chain Shift from Cost Center to Profit Driver Data Study

A custom online survey to two audiences including 100 US C-levels, with influence over or oversight of supply chain decisions, with the following qualifying titles: CFO, COO, CSCO, and 100 US supply chain leaders, defined as supply chain, planning and inventory executives, with a minimum seniority of manager, working at discrete manufacturing companies. 

Do you see potential supply chain consequences of tariffs implemented by the new US administration more as a threat or as a growth opportunity for your business?        

 
C-Level Executives
Supply Chain Leaders
Entirely a threat 9%

 
Mostly a threat, but some opportunity 26%

 
Equally a threat and an opportunity 17%

 
Mostly an opportunity, but some threat    
Entirely an opportunity    

Do you see potential supply chain consequences of tariffs implemented by the new US administration more as a threat or as a growth opportunity for your business?        

Do you see potential supply chain consequences of tariffs implemented by the new US administration more as a threat or as a growth opportunity for your business?        

  C-Level Executives

Supply Chain Leaders

Entirely a threat

9%

 
Mostly a threat, but some opportunity

26%

 
Equally a threat and an opportunity

17%

 
Mostly an opportunity, but some threat

17%

 

Entirely an opportunity

31%  

 

Is supply chain in your organization seen more as a...

C-Level Executives Supply Chain Leaders
Growth Driver 70% 85%
Cost Center 30% 15%

How strongly do you agree or disagree with the following statement: "Leadership is skeptical of the link between supply chain resiliency and business growth." 

C-Level Executives Supply Chain Leaders
Strongly agree 47% 21%
Somewhat agree 38% 73%
Somewhat disagree 5% 5%
Strongly disagree 10% 1%

How often do supply chain leaders at your company struggle to effectively communicate the business value that supply chain creates to company's business leadership? 

C-Level Executives Supply Chain Leaders
All the time 14% 9%
Often 54% 43%
Sometimes 31% 48%
Rarely 1%
Never

In your opinion, what is the best way to bridge any divide between supply chain and the C-Suite?

C-Level Executives Supply Chain Leaders
It’s on supply chain functional leaders to better communicate their value to business leadership 55% 61%
It’s on business leadership to understand the important value of the supply chain function and prioritize their needs 45% 39%

What are the greatest risks of delaying operational innovations in your organization's supply chain? Please select all that apply.

C-Level Executives Supply Chain Leaders
Increased risk of production disruptions or delays 53% 46%
Slower response to market fluctuations 43% 31%
Paying higher costs for inventory 41% 53%
Reputational damage and lost revenue 39% 53%
More challenging to stay in compliance with regulations 37% 50%
Falling behind competitors 30% 32%
None of these 1%

Do you see potential supply chain consequences of tariffs implemented by the new US administration more as a threat or as a growth opportunity for your business?

C-Level Executives Supply Chain Leaders
Entirely a threat 9% 7%
Mostly a threat, but some opportunity 26% 29%
Equally a threat and an opportunity 17% 23%
Mostly an opportunity, but some threat 17% 23%
Entirely an opportunity 31% 18%

Which of these are most likely to happen for your supply chain operational function over the next 12 months? Select all that apply.

C-Level Executives Supply Chain Leaders
Increased visibility with C-Suite leadership 46% 37%
Increase staffing 41% 34%
An increase in investment 38% 37%
Expanding or diversifying supplier base 37% 42%
Adopt new digital tools or platforms 34% 49%
Focus on sustainability initiatives 29% 40%
Rely more on AI 26% 33%
Bring in consultant strategy help 22% 24%
Decrease staffing 16% 10%
None of these

What supply chain challenges keep you up at night? Please select all that apply.

C-Level Executives Supply Chain Leaders
Managing disruptions caused by material shortages or delays 38% 33%
Balancing sustainability goals with operational efficiency 37% 41%
Compliance and regulatory changes such as tariffs or environmental standards 35% 41%
Pressure to reduce costs without compromising delivery performance 33% 37%
Inaccurate or obsolete forecasting 33% 27%
Lack of visibility across sites and supply chain operations 29% 30%
Outdated tools that can’t keep up with inventory management 24% 31%
Poor supplier performance 23% 31%
Recruiting top-tier talent 22% 28%

When do you expect to see a positive ROI from investments in AI and machine learning to your supply chain function?

C-Level Executives Supply Chain Leaders
We’ve already seen a positive ROI 11% 10%
In the next 6 months 13% 5%
In the next year 15% 19%
1-2 years from now 48% 55%
Longer than 2 years from now 8% 9%
We may never see a positive ROI 5% 2%
We have not invested in AI or machine learning for our supply chain function

What are the most effective ways your company is improving its supply chain reliability? Please select all that apply.

C-Level Executives Supply Chain Leaders
Implementing strategies for supply network synchronization 41% 39%
Enhancing visibility across sites and operations 41% 37%
Investing in AI and machine learning 41% 50%
Upgrading our data infrastructure 39% 39%
Creating a digital supply chain 38% 32%
Deploying holistic inventory optimization procedures 35% 33%
Diversifying or expanding the supplier base 31% 45%
Hiring more talent 25% 23%
Other
None of these

How much more proactive do your organization's supply chain logistics need to be to maximize growth?

C-Level Executives Supply Chain Leaders
Significantly more proactive 29% 22%
Somewhat more proactive 48% 56%
A little more proactive 19% 16%
We are already as proactive as we need to be 4% 6%

Which best describes the role of the top executive who is primarily focused on supply chain?

C-Level Executives Supply Chain Leaders
A C-suite role 36% 16%
A department head that reports to C-Suite leadership 37% 35%
A department head that reports to another department 14% 34%
A sub-department head that reports to their department head 13% 15%
We don’t have a top executive primarily focused on supply chain

How much progress has your organization made towards digital supply chain synchronization?

C-Level Executives Supply Chain Leaders
We have reached full synchronization 19% 18%
We are working steadily towards full synchronization 57% 51%
We have started the process but are still a ways away 18% 24%
We have not started the process but are planning on it 6% 5%
We have not started the process but are planning on it 2%

What are the most impactful positive benefits of digital supply chain synchronization for your organization? Please select all that apply.

C-Level Executives Supply Chain Leaders
Enhanced supplier reliability 54% 53%
Increased growth and revenue 51% 53%
Improved on-time delivery 48% 49%
Freeing working capital 38% 43%
Minimizing risk from disruptions 38% 42%
Lowering operating costs 38% 42%
Other 1%
None of these

How strongly do you agree or disagree with the following statement: "AI-driven insights for our supply chain are essential to predict and prevent supply chain disruptions."

C-Level Executives Supply Chain Leaders
Strongly agree 50% 28%
Somewhat agree 42% 72%
Somewhat disagree 8%
Strongly disagree

Methodological Notes:

The LeanDNA Survey was conducted by Wakefield Research  among 100 US c-levels, with influence over or oversight of supply chain decisions, with the following qualifying titles: CFO, COO, CSCO, and also among 100 US supply chain leaders, defined as supply chain, planning and inventory executives, with a minimum seniority of manager, working at discrete manufacturing companies, between February 3rd and February 11th, 2025, using an email invitation and an online survey.