Managing Multiple Or Complex Risks?
The controls that a company applies to its supply chain will impact on its ability to deal with demand, suppliers and to manage the processes by which the company fulfils demand. Failures in inventory management, demand forecasting, manufacturing scheduling would all be examples of areas where control breakdowns could lead to risks being experienced. The existence of programmes of supply chain performance measurement and key performance indicators (KPIs) and investments in computer systems to assist in the management of demand and scheduling are mitigating measures
Ensuring supplier compliance with ethical and environmental standards is a requirement of many customers. For example how do you keep track of the possibility of power supply interruptions for chill store; is the business adequately provided with reserve electricity? Risks of storm or flood damage; is the business susceptible to flood or storm damage that could create business interruption? Risks of foot and mouth or similar interruptions to meat supply; is the business exposed to supply side failures of a structural nature and has it thought these through? Risk of crop failures in tomatoes in Greece; is the business exposed to supply side failures of a structural nature and has it thought these through?
Supply chains are long, complicated and constantly changing. Keeping on top of ethical and environmental risks within your supply chain is challenging.
Many manufacturers and processors are currently running standalone systems for assessing the various risks in their supply chains. This results in duplication and dilution of effort.
With the increased retailer and consumer focus on ethical standards there is advantage to be gained from using an integrated solution to assess supplier compliance.
To consistently manage supplier compliance in a standardised and auditable manner can be a challenge for existing systems.
The QADEX supplier risk assessment module can be deployed either as a standalone module or in conjunction with other modules such as supplier auditing.
Benefits of using this module include:
- Configurable to your risk assessment criteria and parameters provide the
- Flexibility to risk assess and score suppliers.
- Multi stage risk assessments can be completed by different departments with all information coming together to form an integrated “risk score” for the supplier.
- All suppliers are managed consistently.
- Easy to drive continuous improvement in your supply chain year-on-year in a standardised, consistent and measurable way.