Supply Chain Risk Management (SCRM) has many similarities with Business Continuity Management (BCM), which is why SCRM can and should draw upon BCM for advice. One of many good references for further reading on this subject is the The Definitive Handbook of Business Continuity Management
Supply Chain Risk Management (SCRM) has many similarities with Business Continuity Management (BCM). That is why SCRM can and should draw upon BCM for advice. A well-handled supply chain disruption can mean business continuity, while an ill-handled supply chain disruption can mean business dis-continuity.
Supply chain disruptions have occurred as frequently in the past as today, and particular within the military in war times. A supply chain serving a war machine is under extreme strain, but is an essential element in winning or losing not only a battle or two, but an entire war.
How do companies or businesses located in such places adapt to the terms and conditions of their supply chain, how do they hedge against the risk of supply chain disruptions, how are they impacted if there is a disruption?
The paper defines the concept of vulnerability as it applies to production systems and is built around three concepts: A taxonomy of vulnerability factors as a basis for or guideline in establishing scenarios.
An input/output model to describe production systems.
A two-step vulnerability analysis for productions systems.
This is tell-tale illustration of what happens when supply chains are disrupted and businesses are impacted. They may, or may not, be able to bounce back to where they were before the event. The survivability of the company depends solely on the company’s resilience towards the disruption.
Organisations embarking on offshoring face multiple challenges; many of which can be extremely daunting. Sridhar Vedala, Director – Global Sourcing at EquaTerra explores the top 10 challenges of offshoring today and provides suggestions on how to tackle them head on.
Supply chain risks can include a number of different issues, and the article structures these issues along three dimensions: 1) the Supply Chain itself, 2) Risk Management processes and 3) Types of Risk.
Daniel Ekwall’s thesis combines theories from criminology with theories from logistics and supply chain management to examine cross-over points or antagonistic gateways between the legal and illegal logistics system from a supply chain perspective.
Drivers of supply chain vulnerability are 1) supply-side risk 2) demand-side risk, 3) catastrophic risk. Sources of risk are a) customer dependence and b) supplier dependence, d) supplier concentration and d) single sourcing and e) global sourcing.
The book Strategies for Building Successful Global Businesses, by the INSEAD-Wharton Alliance on Globalizing, contains 6 articles on managing risk and uncertainty. Today I will look at one of these articles that deserves further mentioning.
This article, at the China Sourcing Blog, points at what is probably the weakest link in global supply chains: the fact that the more you outsource, the less control you have over your supply chain. In essence, by outsourcing, you give someone else control over your supply chain.
Edited by Robert B. Handfield, Supply Chain Risk Management: Minimizing Disruptions in Global Sourcing (Resource Management), is not what I thought it would be. Looking at the cover I expected a richly and colorfully illustrated handbook. It is not.
Are you gambling with your supply network? You should be aware that the supply network is inherently vulnerable to disruption and the failure of any one element in it could cause the whole network to fail. Actions to improve security can be classified into three categories: Physical security, Information security, Freight security. Actions to improve resilience can be be divided into: Flexibility, Redundancy.
You may not consider it the foremost supply chain risk, but piracy can endanger civilians, can disrupt the economy, can encourage corruption, and could trigger an environmental disaster.
