Three Elements of a Truly Effective Supply Chain Risk Management Strategy

There are inherent risks with every decision a business makes.

The biggest risk to nearly every company is not an unplanned supply chain disruption such as a flood or fire; it’s the risk of not being competitive on a daily basis versus the other companies in the market.

Download our new white paper to learn how the three elements of supply chain risk mitigation can be achieved by creating living digital models of your end-to-end supply chain, including:

1. Visibility: What is the current structure and flow of goods through my supply chain?
2. Scenario analysis: What if we try this? How would my costs or service be affected by this?
3. Rapid response: How should I react to an unplanned event?

Risk planning cycles used to occur only every two to three years—if at all—but now the business environment can change almost overnight and businesses no longer have the luxury of extended planning and reaction periods. If a business can’t properly balance cost, service, complexity and risk, it won’t be competitive and therefore won’t be in business long.

Utilizing modeling technology empowers businesses to build end-to-end living models to visualize the current supply chain and test scenarios based on what constitutes the most risk to the business. Then it will be able to quickly react to unplanned events.

Supply chain design, when done right, provides the basis for a truly effective risk management strategy, enabling sustainable competitive advantage no matter what market conditions—or Mother Nature—may bring.