Manage risks through your supply chains...

Filed in archive Research on September 10, 2005

Nowadays, it seems that Katrina and its effect in businesses is hot topic because you see these kinds of articles everywhere, but 2 months from now everybody is going to forget about that and businesses continue their operations just like before.

An important point here is seeing these kinds of natural disasters, companies must start evaluating these kinds of risks through their supply chains and also try to manage them effectively.

John T. Mentzer from University of Tennessee, has written an article about 1 year ago(Sep. 1) about Risk Management in Global Supply Chains. Actually, this is a short and consice general guideline on how companies must manage this important issue within their supply chains.

In this article, Author conclusion is that companies that have succeeded in managing risk in their supply chains have: identified risks clearly, evaluated them, started risk management initatives and also have changed their strategy, processes and structures in order to support this risk management issues.

You can get a free copy of the article from Industry Week.

I agree with the overal idea too and I think it's one of the must-do issues for Supply Chain Officers. What do you think?