By extending the value chain across the world with multiple layers of suppliers, sourcing and procurement functions expose their companies to new risks and amplify the existing ones: financial failures, natural disasters, industrial accidents, strikes, etc.
A failure of a “supplier’s supplier” of a very non critical part from a far country could generate a major stop on a production line of an automotive leader; bad work conditions of a sub contractor could heavily damage the brand image of a retailer; a shipwreck with a lot of finish goods falling down the sea closed to a touristic area could generate high financial costs due to liability issues…
All these kind of crisis happened recently to major companies where risk and supply chain appeared to be under control. But managing the “butterfly effect” is always a challenge and it is the next challenge of risk managers
- How to describe precisely your Supply Chain?
- How to identify your risks and anticipate their impacts?
- Which preventive measures should be taken?
- Which continuity scheme could be implemented?
- How can you transfer a part of your risk to the insurance market?
- What organisation should be put in place to manage such evolving risk?
This book aims at answering those questions with many business cases, methodologies and tools.
Edited in partnership with the AMRAE (Association pour le Management des Risques et des Assurances de l’Entreprise), this book received the Prix Coup de Cœur 2015 of the Plumes des Achats, a committee gathering all the french professional purchasing and supply chain organization: ACA (HEC), X-Achats (Polytechnique), CDAF (Compagnie des Dirigeants et Acheteurs de France) and ADRA (Association des Directeurs et Responsables Achats).
If you want to order the book in French click here