Survey: More Than Two-Thirds of Medium-Sized and Large Companies in Latvia Actively Manage Supply Chain Risks
Geopolitical uncertainty and global risks have prompted Latvian companies to review their supply chains and strengthen their resilience. According to a survey of business leaders conducted by OP Corporate Bank plc*, 40% of medium-sized and large companies in Latvia are diversifying their supplier base to reduce risks, while nearly every fourth company (24%) is building larger safety stocks to ensure business continuity in the event of potential supply disruptions.
In addition to supplier diversification and inventory stockpiling, companies are also reviewing other aspects of supply chain management. Nearly one-third (31%) of companies report adjusting the prices of goods or services due to cost fluctuations. At the same time, 23% of companies are strengthening internal control processes. This indicates that companies are enhancing supply chain resilience not only by reviewing their supplier base and inventory policies, but also by adapting pricing strategies and improving internal governance processes.
“Recent crises have significantly changed the way many companies view supply chain management. The COVID-19 pandemic highlighted the vulnerability of long supply chains, while Russia’s invasion of Ukraine forced many Latvian companies to reassess their existing supplier networks and seek alternative sources of supply. Trade tariffs and geopolitical tensions in the Middle East further demonstrate that companies must be able to adapt quickly to supply disruptions,” explains Elmārs Prikšāns, General Manager of OP Corporate Bank plc Latvia Branch.
“Today, supplier diversification is no longer merely a matter of procurement and costs – it is a risk management strategy. At the same time, establishing geographically closer and more flexible supply chains is becoming increasingly important. The more diverse, flexible and geographically balanced a supplier network is, the greater a company’s ability to continue operating during unexpected disruptions,” continues E. Prikšāns.
At the same time, 26% of the surveyed companies indicated that, despite global and geopolitical risks, they have not changed their supply chain strategy.
“Although some companies have not yet experienced significant supply disruptions, the current geopolitical environment suggests that supply chain resilience is becoming an increasingly important strategic issue. Companies should regularly assess their dependence on individual suppliers, markets and transportation routes,” notes E. Prikšāns.
Different Trends Across the Baltic States
The approach to supply chain management differs among companies across the Baltic States. Lithuanian companies are considerably more active than their counterparts in Latvia and Estonia in implementing various supply chain resilience measures: 69% diversify their suppliers, 75% adjust product or service prices due to cost fluctuations, and more than half strengthen internal control processes and adapt to sustainability requirements. In Estonia, meanwhile, the greatest emphasis has been placed on adapting supply chains to sustainability and ESG requirements (47%).
Approximately one-quarter of companies in Latvia (26%) and Estonia (27%) report that they have not changed their supply chain strategy, while in Lithuania only 7% say the same.
* The survey was conducted on behalf of OP Corporate Bank by the market research and communications sciences institute KOG Institute for Marketing and Communications Sciences in April 2026, surveying more than 300 representatives of medium-sized and large companies across the Baltics.
About OP Corporate Bank plc Latvia Branch
OP Corporate Bank plc is the central bank of OP Pohjola, Finland’s largest financial services provider. It began operations in Latvia in 2012 and is currently one of the leading banks in Latvia by the volume of loans issued to medium and large enterprises. OP Corporate Bank plc Latvia Branch provides financial services to leading companies in Latvia and plays a significant role in the long-term development of the country and the wider region.