Amid rising global supply chain risks, Sphera study highlights urgent need for enhanced N-Tier supply chain transparency (2025)

Survey Reveals Most Chief Procurement Officers Struggle with Supplier Data Sharing Across their Supply Chain

| Source: Sphera Solutions

Chicago, IL, April 24, 2025 (GLOBE NEWSWIRE) -- In an era marked by escalating geopolitical tensions, evolving regulatory demands and persistent supply chain disruptions, a new study by Sphera, a leading provider of integrated sustainability, operational risk management software, data and consulting services, underscores the critical necessity for organizations to achieve comprehensive N-Tier supply chain transparency. The research reveals the majority of chief procurement officers (CPOs) will struggle to manage supply chain resiliency in this new era of tariff uncertainty.

Sphera’s survey of CPOs and Chief Sustainability Officers shows that for most CPOs, cooperation within the supply network usually ends at Tier 1 suppliers, because many Tier 1 suppliers prefer not to disclose their supplier relationships. This means that companies do not have end-to-end visibility into their supply chain, limiting their ability to preempt supplier failures like bankruptcy or insolvency, or respond to supply chain vulnerabilities in time to keep operations on track. With 85% of risk and critical incidents occurring in Tier 2-4 suppliers, N-Tier solutions are becoming a strategic and operational imperative.

“When disruptions hit, businesses need options,” said Paul Marushka, CEO and president of Sphera. “Firms with limited visibility into their supply chain have risks and exposures stemming from sub-tier suppliers who may be vulnerable to disruptions. Sphera’s N-Tier survey results demonstrate the importance of comprehensive supply chain mapping. Companies with a proactive approach can successfully weather the storm of any supply chain disruption.”

Highlights from the report include:

  • Data quality challenges: 70% of organizations report difficulties with data accuracy and quality from Tier 2 to Tier 4 suppliers, hindering effective risk management.
  • Regulatory drivers: Nearly half of the organizations surveyed report that their adoption of N-Tier transparency practices is driven by considerations other than regulatory requirements such as CSDDD and EUDR, meaning the respondents believe N-Tier visibility is valued beyond the regulatory level.
  • Manual processes persist: Despite technological advancements, 26% of respondents continue to rely on manual risk assessments, leaving them vulnerable to oversight and inefficiencies. Most of the remaining respondents rely on a range of tools that are not fit-for-purpose, creating additional complexity.

With geopolitical, environmental and regulatory challenges placing pressure on the supply chain landscape, businesses are seeking greater transparency from suppliers at every level. Persistent disruptions mean that companies need to invest in innovative technologies to improve their resilience in the face of an unpredictable future.

For more information about Sphera’s N-Tier research, click here.

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Research is based on a survey of 500 senior decision-makers carried out in February 2025. Participants were primarily Chief Procurement Officers and Chief Sustainability Officers providing insights into current supply chain challenges and investment priorities.

About Sphera

Sphera is the leading provider of integrated sustainability and operational risk management software, data and consulting services focusing on Environment, Health, Safety & Sustainability (EHS&S), Process Safety, Product Stewardship and Supply Chain Transparency. For more than 30 years, we have served 8,500 customers and a million-plus users in 100 countries to help companies keep their people safe, their products sustainable and their operations productive. Learn more about Sphera at https://sphera.com/. Follow Sphera on LinkedIn.

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  • Paul Marushka, CEO and president of Sphera
 

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 Ellen BremsethSphera Solutionsebremseth@sphera.com 

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Amid rising global supply chain risks, Sphera study highlights urgent need for enhanced N-Tier supply chain transparency (2025)
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