Episode Summary On this episode of A Seat at the Table, Jane Singer welcomes Susan Kargel founder of Brute Mitigator and a leading expert in freight forwarding, customs clearance, trade compliance, and operational resiliency. Together, they tackle the increasing complexity of global supply chains, rising risks—especially from cyberattacks—and the rapidly evolving landscape of customs regulations. The episode explores best practices for business continuity, building redundancy, leveraging AI (and recognizing its limits), and practical ways logistics and supply chain professionals can prepare for an era of exponential change. Key Points 1. The New Era of Supply Chain Risk The rise in disruptions: tariffs, cyberattacks, natural disasters, technology outages, and their extensive impact on logistics and customs operations (Jane Singer, Susan Kargel at 00:00:00).Why compliance is now "at the table"—and why it's crucial to integrate customs and trade teams into resilience planning (00:01:37).Common misunderstandings among leadership about supply chain resilience and the oversimplification of business continuity planning (00:02:19).2. Moving Beyond Basic Business Continuity Plans Gaps in standard business continuity planning: lack of detailed processes for operational recovery after technology failures (00:02:50).The essential role of cross-functional planning—engaging leadership, IT, HR, compliance, and operations to identify and prioritize critical functions, define restoration priorities, and establish clear communication channels (00:06:21).Importance of "fire drills" and scenario planning to transform contingency procedures from paper plans into instinctive, actionable responses (00:08:26).3. Building Redundancy in Customs & Logistics Operations Real-world supply chain continuity: using hybrid models of in-house and third-party customs brokerage to avoid single points of failure (00:13:03).How documentation, data sharing, and vendor relationships can serve as insurance policies to minimize business disruption (00:14:08, 00:16:02).The risk of losing "tribal knowledge" of manual processes—why documenting old workarounds is essential as experienced staff retire (00:18:20).4. Dealing with the Surge in Customs Complexity Rapidly changing tariffs and enforcement: impact on U.S. importers and the need for up-to-date, validated documentation (00:19:39).Why accurate classification, valuation, and country-of-origin tracing are more vital than ever in the face of stricter enforcement and whistleblower incentives (00:22:42).The compounding cost of errors, from penalties to demurrage and delayed shipments (00:25:22, 00:26:02).5. AI, Automation & the Human Factor in Customs and Logistics The promise of AI: improving efficiency in customs declaration processing, document handling, and inventory management (00:28:38).Using machine learning to extract data from documents, reduce manual entry, and highlight discrepancies (00:29:40).Risks: overreliance on AI can erode process knowledge and may propagate errors if not audited by subject matter experts (00:31:19, 00:36:17).Security considerations: understanding data privacy, AI data usage, and toggling off default data sharing settings (00:33:09).Legal responsibility for errors: customs will not accept "AI made the mistake"—final accountability remains with the company (00:35:37, 00:36:44).6. Building Team Resilience - Tools & Training The value of structured, practical training for logistics teams—building bench strength, team alignment, and documentation of both digital and manual contingencies (00:41:41).Highlights from Susan Kargel’s online courses: templates, guides, communication plans, business-critical function assessment, crisis workshops (00:41:41–00:43:04).Actionable Takeaways Integrate functional leaders with IT in resilience planning—Business units know operational priorities; IT needs these priorities to restore systems effectively.Develop and test crisis communication plans—Repeated, hands-on scenario drills ("fire drills") prepare teams for actual disruptions.Build redundancy in customs processing—Consider hybrid approaches, ensure data is shareable and workflows are documented, not siloed.Stay current on customs regulations and enforcement—Assign resources to monitor changes, audit classification and valuation, and document every step.Embrace AI with caution—Use it to automate repetitive tasks but maintain human oversight for accuracy, compliance, and documentation.Document manual workarounds—Prevent knowledge loss as experienced staff retire, especially for reverting to manual processes during crises.Invest in training—Equip teams to understand both technical and manual aspects of operations for true resilience.Notable Quotes "[Compliance is] at the table now. That's very exciting." (Susan Kargel 00:01:48)"If your system goes down... there's no online system to process it. You’re going to have to go find another declaration processing system." (Susan Kargel 00:04:36)"Just because you use AI, if there's a mistake, you can't tell customs, 'Oh, I used AI and it told me that.' You're still responsible for the outcome." (Susan Kargel 00:35:37)"You want to kind of control your own destiny and you need your providers too. But both can help each other." (Susan Kargel 00:15:35)"Build knowledge, build strength, build teamwork—just things that companies should have." (Susan Kargel 00:43:40)Resources & Further Learning Brute Mitigator online courses – logistics team resilience, crisis planning, and customs compliance (link in show notes)U.S. Federal Register and Customs Bulletins—stay updated on regulatory changesIndustry trade associations and customs broker webinars for ongoing learningAbout the Speakers Susan Kargel is the founder of Brute Mitigator and brings 40 years of experience in global logistics, customs, and compliance, specializing in preparing supply chains for operational disruptions and cyber threats.Jane Singer is the host of A Seat at the Table, focused on what's working, what's not and best practices in business, supply chain, and leadership. She is also managing director of 'Inside Fashion', a platform for apparel industry information and 'The Current Situation in Sourcing', a quarterly market intelligence report for C-suite apparel brand leadership.Learn more about BruteMitigator: https://www.brutemitigator.com SEND US A MESSAGE Visit A Seat at The Table's website at https://seat.fm