M&M Deepens Supply-Chain Checks, Identifies High-Risk Components Amid Global Volatility

Mahindra & Mahindra has undertaken a detailed review of its supply chain, flagging 82 auto part families and nine commodities as high-risk, as it looks to stay ahead of potential disruptions amid geopolitical and input cost uncertainties.

Outlining the initiative following FY26 results, Group CEO and MD Anish Shah said the company has mapped its entire procurement base, covering over Rs 1.06 lakh crore worth of sourcing across more than 100,000 auto part families and 40 commodities. 

The automaker assessed categories across a range of parameters, including geopolitical exposure, raw material risks, supplier concentration, regulatory challenges and logistics constraints, as part of a structured effort to identify potential vulnerabilities.

Following this, M&M has started implementing corrective measures across the supply chain. These include increasing localisation, developing alternate vendors, building inventory buffers and redesigning components to reduce reliance on specific inputs.

The company has also strengthened its monitoring mechanisms. It is now tracking LPG availability for nearly 400 suppliers on a day-to-day basis. This reflects how access to energy has become a critical variable in ensuring production continuity.  In addition, M&M is monitoring broader ecosystem factors such as worker-level supply conditions within its vendor network.

The approach underlines a wider shift in the industry, where companies are moving away from purely cost-driven supply models towards long-term resilience-led frameworks. This transition is being shaped by recent disruptions, including the pandemic and ongoing geopolitical situation. M&M’s current strategy is focused on building flexibility into the system, with an emphasis on early identification of risks.

Management indicated that the strengthened supply-chain framework has supported stable operations in recent quarters and will remain a key focus area as uncertainties persist.