Global Supply Chain

>> Strategy & Risk Management

Translate your business vision into a supply chain strategy that integrates with and supports the business

Senior supply chain professionals understand that global supply chains are no longer cost centres of functional activity. They have implemented lean a global supply chain strategy that deliver high service and low cost with efficiency and high utilisation.

However in the last decade markets have become significantly more uncertain. Strategic visibility is much shorter and organisations and businesses strategies require greater agility and resilience.

The cost of failure is now much greater and the 3P’s of global supply chain sustainability (People, Profit, Planet) are becoming an integral part of business strategy. Board members and senior supply chain professionals are increasingly aware that risk management must be incorporated into agile supply chain strategies.

As today’s global supply chains touch and coordinate every component of the business from sourcing to delivery it is essential that the business strategy is incorporated into every element of the supply chain. And it is ideal if that business strategy reflects and leverages the supply chain capabilities to maximise the value chain.

While innovation and the application of new technology is the engine of long term business growth, supply chain professionals recognise that this can cause short term disruption and complexity with a global supply chain. Supply chain strategy needs to be effectively represented in the boardroom to ensure this proper dialogue.

It is essential to differentiate business risk within global supply chains into those that are caused by uncertainty and those by complexity. Complexity is inherent in global supply chains but the application of good business processes and systems can reduce risks significantly.

Supply chain professionals well appreciate the supply and demand risks but as global supply chains depend upon a much greater number and diversity of logistics service providers there is also a substantial service risk that must be managed through the selection and management of logistics subcontractors.

Latest version updated 31st October 2018

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