How Can You Drive Opportunity If You Cannot Manage Risk?

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Report Details: The research for this report was conducted via an online survey from March 12 – May 11, 2018. Surveys were conducted among 93 respondents — a mix of business users (manufacturers, wholesalers/distributors/co-operatives, and third-party logistics providers, n=34), vendors (software providers and consultants, n=39), and others (academics, analysts, unemployed, and others, n=20).

Objective: To understand the current and expected future state of supply chain risk management, the biggest drivers of risk, and the impact on supply chain disruptions. NOTE: supply chain risk management is defined as the proactive identification and assessment of potential risks to the supply chain, as well as the development of strategies to avoid these risks.

Highlight: Nearly two-thirds of respondents believe that their company performs better today on risk management practices than five years ago yet they had 3.5 disruptions last year on average. Managing risk requires a network approach. Today’s investments in an end-to-end supply chain are, by and large, not effective in risk mitigation. Only 37% have visibility of extended-tier suppliers and most lack the solutions to manage global complexity.

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