This webinar presents objective evidence on the long-term effects of disruptions on financial performance. The evidence is based on a study of nearly 800 instances of disruptions experienced by publicly traded firms. Some of the key findings are:

• Disruptions have a significant negative effect on profitability. In the year leading to the disruption, the average effect is 107% drop in operating income, 93% drop in return on assets, and 114% drop in return on sales.
• Over a three year time period around the disruption, disruption experiencing firms report 33% to 40% lower stock returns relative to their competition and increased share price volatility.
• Firms continue to operate for at least two years at a lower performance level after experiencing disruptions.

The webinar will also discuss findings from the report on the impact of disruptions on corporate performance by the sources of disruption; the reasons for disruptions; different industry groups, and firm size.

Vinod will discuss the drivers of disruptions and what firms can do to build capabilities to mitigate and manage the risks of supply chain disruptions.