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Supply Chain Risk

Supply Chain Risk

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Published by janhusdal
"Supply Chain Risk - the dark side of supply chain management" is a guest lecture I recently gave at Molde University College in Molde, Norway.

Supply Chains are exposed to a variety of risks that are unique to each supply chain. These risks are related to actions and events that are inside and outside of the supply chain. Supply Chain Risk Analysis seeks to identify these risks, their sources and drivers, and their impact on the supply chain. Supply Chain Risk Management seeks to establish mitigative and contingent strategies for how to deal with the identified risks and their potential impact on the supply chain.
"Supply Chain Risk - the dark side of supply chain management" is a guest lecture I recently gave at Molde University College in Molde, Norway.

Supply Chains are exposed to a variety of risks that are unique to each supply chain. These risks are related to actions and events that are inside and outside of the supply chain. Supply Chain Risk Analysis seeks to identify these risks, their sources and drivers, and their impact on the supply chain. Supply Chain Risk Management seeks to establish mitigative and contingent strategies for how to deal with the identified risks and their potential impact on the supply chain.

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Published by: janhusdal on Jun 12, 2009
Copyright:Attribution Non-commercial

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06/22/2013

 
Supply Chain Risk
The dark side of supply chain mangement
Guestlecture, LOG 711, 12.11.2008
Jan Husdal
 jan.husdal@himolde.no
71214289
Outline
Whatis (supplychain)
riskrisk
?
Whataretypical
supplysupplychainchainrisksrisks
?
Howto
managemanage
supplychainrisks?
 
Supplychainrisk?
Loss of goods
Insurance? 
Loss of vehicle
Replacement? 
Delayed delivery
Brand reputation? 
Injured personell
Hiringand training? 
Weather conditions
Detour? 
SupplySupplyChainChainTrendsTrends
>>>>>>
ConsequencesConsequences
The trend towards
 just-in-time
and
lean
practices
>>>
efficiency 
rather than
effectiveness
.
The trend towards
reducing costs
(at almost any cost)
>>>
globalization
of supply chains, more
complex 
and 
vulnerable
.
The trend towards
economies of scale
>>>
centralized 
distribution and manufacturing
>>>
lower costs
but at the same time
less flexibility 
.
The trend towards
outsourcing
non-core business activities
>>>
loss of control 
of the supply chain when it is most needed 
.
The trend towards
consolidation of suppliers
(intentional and incidental mergers and acquisitions)
>>>
increased potential for 
supply failure
.
Christopher, M. (2005)
Managingrisk in thesupplychain
. In: Christopher, M. (Ed.)
Logisticsand Supply ChainManagement.
3rd ed., PrenticeHall, pp. 231-258.
 
SupplyChainRisk -Piracy
http://www.icc-ccs.org/
Whyis supplychainrisk important?
Even a relatively small supply chain disruption caused by a
localized event localized event 
may have
consequences across the global consequences across the global economic systemeconomic system
.
Globalization, offshoringand outsourcing leads to>> “nocontrol over
causescausesto events in the supply chain.to events in the supply chain.>>>>
“only”control over
consequencesconsequencesof events in the supply chain.of events in the supply chain.
World Economic Forum (2008)
Hyper-optimization and supply chain vulnerability: an invisibleglobal risk? 
In: Global Risks 2008 –A Global Risk Network Report, REF: 090108, World EconomicForum, Switzerland.http://www.weforum.org/pdf/globalrisk/report2008.pdf 

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