Skip main navigation

Risks and challenges

In this step, we look at the risks and challenges of international logistics.
© Coventry University. CC BY-NC 4.0

In this step, we look at the risks and challenges of international logistics.

Risks include:

Disruptions or geopolitical threats

  • Transport disruptions caused by strikes or natural disasters
  • Geopolitical events – for example, the US-China trade war

Tracing and delay risks

  • Track and trace can be difficult because of multi-modal transportation or consolidation (combining smaller shipments into one, as a way of utilising a vehicle’s full capacity and reducing carrier costs)
  • Goods ‘disappear’ or arrive late because of various checks during transportation
  • Documentation has to be correct or causes delays

Multi-national risks

  • Local infrastructure can be deficient in developing countries, compared with developed countries
  • Language and local customs can be frustrating

Challenges include:

  • Longer supply lead and transit time
  • Multiple consolidations can cause delays
  • Transport costs can vary owing to multiple freight routes
  • Currency fluctuations
  • Difficulty in monitoring delivery
  • Passing through multiple countries brings with it a variety of legal and local issues
© Coventry University. CC BY-NC 4.0
This article is from the free online

International Logistics: A Beginner’s Guide to Logistics Management

Created by
FutureLearn - Learning For Life

Our purpose is to transform access to education.

We offer a diverse selection of courses from leading universities and cultural institutions from around the world. These are delivered one step at a time, and are accessible on mobile, tablet and desktop, so you can fit learning around your life.

We believe learning should be an enjoyable, social experience, so our courses offer the opportunity to discuss what you’re learning with others as you go, helping you make fresh discoveries and form new ideas.
You can unlock new opportunities with unlimited access to hundreds of online short courses for a year by subscribing to our Unlimited package. Build your knowledge with top universities and organisations.

Learn more about how FutureLearn is transforming access to education