With the increase in dependency on complex global supply chains, it’s not possible to eliminate all risks . . .
What is supply chain risk management?
Supply chain risk management are the management controls implemented by an organisation to mitigate and manage the identified supply chain risks.
Effective supply chain management can help provide organisations with levels of resilience to recover from unplanned incidents or events should the worst happen.
Supply chain risk management is not always considered effective.
Two thirds of companies have a supply chain risk management program in place, but only half the surveyed executives believed those programs are extremely or very effective.
Source: Marchese & Paramasivam (2013);
The ripple effect - How manufacturing and retail executives view the growing challenge of supply chain risk
. . . are your controls implemented effectively?
How do you assure the integrity of your suppliers?
With globalisation, organisations are facing increasing threats to their supply chains, but many do not have sufficient management programmes or resources in place to deal with these risks.
Supply Chain Risks
- Financial – debt, ban on borrowing, international exchange rates
- Raw Materials – availability, shortages, costs
- Natural Disasters – unplanned events, e.g., floods, earthquakes
- Accidents and terrorism – theft, fraud, fire, attacks
- Operational risks – quality, delivery, process, IT failures
- Political stability – internal conflicts, revolution, war
How can LRQA help?
2nd Party Services
LRQA’s 2nd Party services provide a bespoke solution tailored for your organisation to help manage your suppliers and supply chain risks. This solution-based service will provide assurance that your system is resilient and is effectively managed and controlled.
2nd Party services can range from supplier evaluation, performance & surveillance audits