Supply Chain Partner

Supply Chain Risk Management Services

Importance of Supply Chain Risk Management

Recently,, there have been several unforeseen but notable supply chain disruptions across a range of sectors, and in a variety of locations around the world. From an errant cargo ship blocking the Panama Canal to cybercrimes disrupting delivery across entire continents, the potential for holdups in supply chains is broad and can be difficult to fully prepare for. As a decision maker in the supply chain you are constantly aware of supply chain risk and the impact of potential pitfalls in your business. But how can you know for sure that you are monitoring your supply chain risk effectively? SCP can help with that. With a supply chain risk management solution, you can gain a full overview of your supply chain and easily identify where potential problems may arise. Here, we’ve put together a handy guide on why you need a supply chain risk management solution, and how it can help you deliver perfect products to your clients.

What is Supply Chain Risk Management?

Supply chain risk management (SCRM) is the set of processes that identify, analyze, and mitigate risk in your supply chain. From supplier side risk, to delivery and natural disasters, SCRM can help your business prepare for the unpredictable nature of the supply chain. Cooperation and collaboration is a critical part of supply chain management in general, and so too is it crucially important in the monitoring of supply chain risk.

Importance of Supply Chain Risk Management

Supply chain management is put in place to give your business a competitive advantage, and to allow your company to scale quickly and easily. Supply chain risk management ensures that your advantage is upheld through any unforeseen circumstances. Although supply chain risk can never truly be eliminated, as unforeseen circumstances can always occur, being prepared for setbacks and errors can mitigate the damage done to your supply chain and your reputation. As an example, look at Samsung’s exploding phones, or the E. coli on some of Chipotle’s products – these were supply chain shortcomings that neither company was fully able to get ahead of as they occurred.

SCRM can enable your supply chain to be resilient to fluctuations in customer demand, less sensitive to governmental or economic factors, adaptable to regulatory changes, secure against cyber threats, and able to operate efficiently and effectively independently of personnel in key management positions. Supply chain risk analysis identifies weak “links” in your supply chain, and can help you solidify processes around those areas to reinforce your company’s position at the top of your industry.

As an expert in the supply chain and supply chain risk monitoring and analysis, SCP can provide and implement the perfect solution for you. Whether part of a broad suite like NetSuite or Coupa, or a niche option that works specifically for your sector, we have the ideal plan to help your business avoid supply chain disasters and keep your supply line moving smoothly.