Identifying and Managing Supply Chain Vulnerability

The drive towards more efficient supply networks during recent years has resulted in these networks becoming more vulnerable to disruption. Supply-chain vulnerability can be defined as an exposure to serious disturbance, arising from risks within the supply-chain as well as risks external to the supply-chain. Supply chain risk management aims to identify the areas of potential risk and implement appropriate actions to contain that risk. At a tactical level, the following set of activities should be carried out to prepare for and handle disruptions: 1. risk idenfication process, 2. risk assessment process, 3. supply-chain continuity management and co-ordination processes, and 4. processes to ensure learning from experiences