As recent events such as Hanjin Shipping’s bankruptcy, the Zika virus and the East Coast oil disruptions have demonstrated, supply risk management is more important than ever. Yet trying to implement supply risk management as a standalone program is often a tough affair for companies where the modus operandi is unprotected “supply reward management.” All too often, organizations view risk management as a glorified insurance policy instead of as a strategy integrated with the rest of the business.
This is a mistake. Risk and reward can work together to create true win-win situations for both suppliers and the business. In this Spend Matters PRO analysis, we share seven strategies that leading supply chain organizations have found to be successful.