Don’t be taken aback, create Supply Chain Resilience

The term disruption described the most severe breakdowns in the production or distribution sections ...

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Posted by Dave Food on Jul 26, 2019 2:38:32 PM
Dave Food

The term disruption described the most severe breakdowns in the production or distribution sections that encompass a Supply Chain (SC). These interferences could be caused by internal or external disruptions, such as a fire, any interruptions to the flow of products, a machine breakdown or natural disasters, social or political incursions or bottlenecks in production; multiple problems that could break unexpectedly in our supply chains.

Steps towards prevention

From the moment a significant Supply Chain disruption occurs, a variety of actions is triggered which come to define the real maturity or Resilience to manage the confusion in an enterprise SC. Businesses can take short and long-term preventive measures to ease these impacts through a Supply Chain Risk Management program.

Execs find it challenging to stand up for costly strategies when Supply Chain disruptions might not occur, the reason why they do not take the appropriate steps towards prevention.  However, there is an imperative need to encourage firms to consider them in their programs as it is a guarantee to support operations and succeed before, during and after disrupting experiences.

These initiatives demand new technologies to anticipate to high environmental risk before they strike, to track and monitor SCs of all kind to ensure each container or package arrives safely to its destination through security measures offered by certified agencies.

When major disruptions occur, many Supply Chains tend to collapse, taking a long time to recover.  If you find that security companies and their premiums represent a high cost for your firm, there are robust strategies for mitigating Supply Chain disruptions, which you can develop directly in your firm. 

How do you need to face these disruptions?

·       Identify the different kinds of risks.

·       Your company needs to keep on satisfying your customers before, during and after a major disruption occurs.

·       Cost-effective and time-efficient strategies will make it possible for a Supply Chain to manage the natural variation outcomes competently, despite the circumstance of the event.  

·       These strategies will make a Supply Chain more resilient when facing significant disruptions.

·       These strategies represent a high cost; however, they provide extra selling gaining whilst retaining hesitant customers before and after a significant disruption

Businesses can take short and long-term precautionary measures to mitigate the impact of Nature disruption. Suggestions for Procurement, Logistics and Business leaders are to carry on a Supply Chain Risk Management program to minimise the effect of these disrupting events on supply chains.

Tobias Larsson, CEO Resilience360 explained that preparation is central to get around costly disruption. Advanced technologies allow us to check out up and down multi-layers of the supply chains, including cross-areas inspections to identify changes anywhere which could impact the entire Supply Chain.

CONCLUSIONS: taking preventive measures is central to avoid costly-hazardous disruptions. If businesses can visualise where problems could arise, they can also plan properly. Most companies recognise the importance of a Supply Chain Risk Evaluation Program and use different methods to assess Supply Chain. 

 

 

Dave Food

Prophetic Technology

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