The company sources raw materials and finished products from a diverse range of domestic and international suppliers. It requires suppliers, service providers, and subcontractors to comply with applicable laws and adhere to supplier standards of conduct, including sustainability and human rights criteria. The company faces challenges in identifying qualified suppliers, particularly outside the United States, and is exposed to risks such as supplier insolvency, political and economic instability, tariffs, labor issues, cybersecurity threats, currency fluctuations, transportation availability, inflation, and natural disasters. Global supply chain disruptions, including those resulting from conflicts, have caused delivery delays, reduced fill rates, and increased substitution rates. The company addresses these risks through supply chain initiatives and pricing pass-through mechanisms, though it cannot guarantee future success. Additionally, foreign trade policies and sanctions may adversely affect its operations. The company depends on large food service distribution companies for product distribution, and any disruptions in these relationships could impact its operations and costs.
Aramark's Comment on Supply Chain
The company sources raw materials and finished products from a diverse range of domestic and international suppliers. It requires suppliers, service providers, and subcontractors to comply with applicable laws and adhere to supplier standards of conduct, including sustainability and human rights criteria. The company faces challenges in identifying qualified suppliers, particularly outside the United States, and is exposed to risks such as supplier insolvency, political and economic instability, tariffs, labor issues, cybersecurity threats, currency fluctuations, transportation availability, inflation, and natural disasters. Global supply chain disruptions, including those resulting from conflicts, have caused delivery delays, reduced fill rates, and increased substitution rates. The company addresses these risks through supply chain initiatives and pricing pass-through mechanisms, though it cannot guarantee future success. Additionally, foreign trade policies and sanctions may adversely affect its operations. The company depends on large food service distribution companies for product distribution, and any disruptions in these relationships could impact its operations and costs.
Sources:
Aramark's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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