Global supply chains are facing unprecedented scrutiny as geopolitical instability and natural disasters increase in frequency and severity. Recent events, from pandemic-related shutdowns to the war in Ukraine, have exposed critical vulnerabilities in how goods move around the world, leading to considerable financial losses for businesses. Now, companies are increasingly focused on achieving greater supply chain visibility and resilience, turning to advanced risk management tools and expert analysis to safeguard operations and protect their bottom lines.This article explores how Marsh and its innovative platform, Sentrisk, are helping organizations proactively identify, assess, and mitigate supply chain risks-even those hidden deep within multi-tiered networks.
Supply Chain Visibility Emerges as Top Risk for Large Corporations
Table of Contents
- Supply Chain Visibility Emerges as Top Risk for Large Corporations
- Growing Awareness of Supply Chain Threats
- Marsh’s Approach to Risk Management
- Introducing Sentrisk: A Risk Analysis Solution
- Data Collection and Validation
- The Role of AI and Human Oversight
- Translating Data into Actionable Insights
- Real-World Crisis Aversion
- The Future of Risk Management with AI
Charlotte van Bouwel, Advisory Leader Marine, Cargo and Logistics Europe : A lack of visibility throughout the supply chain is currently the biggest challenge facing large companies when assessing risk. While many organizations have a strong understanding of their direct suppliers – those of Tier 1 status – very few possess insight beyond that initial level. However, the most significant vulnerabilities often lie with subcontractors. Supply chain disruptions rarely originate with the supplier everyone has identified, but more frequently stem from a Tier 2 or Tier 3 subcontractor.
We are a consulting and service company specializing in complex risks.
Growing Awareness of Supply Chain Threats
C.v.B. : More than 60% of companies now recognize their supply chain as a major risk to their business. Recent global crises have demonstrated how even a disruption at a distant supplier can temporarily halt entire production lines. Simultaneously, nearly 90% of executives view geopolitical tensions as one of the primary threats to their supply chains.
Marsh’s Approach to Risk Management
Luc Verbiest, Country Manager Luxembourg : We are a consulting and service company specializing in complex risks. Our role is to analyze a company’s actual exposure. We work *with* insurers, not against them, to deliver the best outcome for our clients. Protecting our clients’ balance sheets is our primary objective.
Introducing Sentrisk: A Risk Analysis Solution
L.V. : We have developed Sentrisk, a powerful tool designed to precisely analyze supply chain risks.
C.v.B. : When clients log in, they gain a comprehensive view of their entire supply chain, complete with current alerts and advisories. We reveal the layers of dependencies within the chain. A client might know their Tier 1 site in Vietnam, but be unaware of its reliance on 63 additional suppliers. Everything is cataloged, from raw materials to finished products.
Data Collection and Validation
C.v.B. : Clients provide us with information on their sites and direct suppliers. From there, we leverage our data leak detection capabilities – vast databases containing information on companies, their suppliers, shipments, and claims, among other data points. Artificial intelligence is used to read and extract information, but nothing is automated. Every data point is validated by our team.
The Role of AI and Human Oversight
C.v.B. : That’s precisely why everything is manually verified by our team. We critically evaluate the data. Our goal isn’t to produce an automated map, but a reliable view of reality. The increasing use of AI in risk assessment is prompting discussions about accuracy and the need for human oversight, particularly in complex supply chains.
Translating Data into Actionable Insights
C.v.B. : Once the information is structured, we can map a client’s entire supply chain on Sentrisk. We highlight dependencies, regions with a high concentration of suppliers, and critical sites exposed to natural or geopolitical risks. Most importantly, we can simulate the impact of an event and estimate its financial consequences. Sentrisk recently assisted a bank in a risk assessment where an initial loss scenario was estimated at €10 million. After our simulations, that potential loss was revised upwards to €50 million.
AI will accelerate risk analysis, but the decision will remain human.
Real-World Crisis Aversion
C.v.B. : For an industrial client facing rising tariffs, Sentrisk helped us identify alternative transportation routes. As a result, the client reduced costs by several million euros during a new product launch.
The Future of Risk Management with AI
CvB : AI will accelerate risk analysis, but the decision will remain human.
L.V. : The key word, today and tomorrow, is resilience. Our mission is to help companies be better prepared before a disruption occurs.
