Supply Chain Risk Management

T&L companies seeking to remain competitive need an efficient and competitive supply chain. This means that they need to constantly develop solutions and face the risks involved. Examples of common initiatives and the risks that are embedded in them are:

• Design of a leaner supply chain – Cost reduction initiatives increase the risks of stock-outs and dependency upon suppliers
• Supply chain globalisation – Decisions to embrace competitive cost countries lead to higher risks such as extended lead-times, stock increases, and additional costs due to quality issues
• Outsourcing key areas of supply chain – Third party dependency may reduce flexibility and increases the risk of unavailability of key product and services.

Our approach seeks to leverage our expertise in business risk and controls with our experience of operational supply chain matters. This solution is designed to help clients:

• Assess the risks in the supply chain that threaten the achievement of an organisation’s strategic objectives
• Recommend how existing risks could be more effectively managed
• Recommend areas where business could take additional (managed) risks to yield competitive advantage.

Your benefits
This approach enables the rapid identification of risk issues and the implementation of quick and effective adjustments to strategies and operations to address these risks. Close involvement of key management in the process, the use of workshops that make effective use of key management time so the focus is on the principal strengths and weaknesses of the supply chain.