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Supply Chain: Risky Business

Supply Chain Risks

Never is your supply chain as important as when you no longer have access to it. Even the smallest business realizes the impact of losing just one step of the chain.

One weakness in a link can often mean a breakdown of the entire chain. These disruptions and delays can have a massive impact, potentially costing a business tremendous amounts of time and money.

What can be done when these breaks in the supply chain happen?

Breaks Happen

Disruptions in supplies can arise from manufacturing strikes, political unrest, trade wars, weather, supply shortages, communication failures, environmental disasters, cyber concerns, and many more events, natural and man-made.

Unfortunately, these breaks have impacts on all aspects of the chain and can cause delays or stoppages of production, sales, and distribution of product.

How can a business stay one step ahead? By developing a risk management strategy that anticipates these problems and keeps business moving.

Keep All Options Open

Keep a sharp eye on suppliers and their connections. Businesses that are well-established will have many more options available to them. If a company depends upon a certain type of transport for supplies and suddenly finds that transport is out of commission, the right people connected via another network may be able to find a fast and effective transportation solution.

Up-to-date technology is vital. There are multiple ways a business can track supplies today. Mobile apps and other electronic connections to all partners in the chain will ensure that businesses know what is going on at every point.

Communication is key in any business, so when working with supply chains, the tighter the communication, the better. If one portion of the chain breaks, it becomes evident immediately and other arrangements can be made to get goods where they need to be.

 

Keep Your Friends Close, and Your Suppliers Closer

It is always an advantage to keep as many suppliers as possible close to home: source locally. Of course, this won’t always be possible, but keeping products, goods, and services sourced locally not only cuts the risk of delays, but it also supports the local community and economy.

And even if local sources cannot always be used, preserving those local relationships can help when problems arise in the supply chain and that important help is close at hand.

 

When You Need a Helping Hand: Risk Management

Planning to succeed is planning to face challenges. There will always be snags in a supply chain, often on a regular basis. Sometimes, several. If a company discovers that they often face delays and disruptions, consultation with an expert in the field might be considered and educating staff.

Risk management consultants understand and resolve supply chain concerns every day. Their expertise is to foresee potential weather hazards, trade wars, civil unrest, product shortages, changes in government policies, and even rising costs. By looking ahead at future challenges, businesses can make plans for alternate methods of moving product. Attending conferences and training helps keep current on changes in government policies.

There is enough to worry about in looking through all the links in a supply chain. Consulting experts will cut costs, prevent delays, and save your business from losing money and customers.

 

Cutting the Risk

Every single day, businesses face innumerable snags, delays, and breaks in their supply chains. In business, preparing for all of them and having a solution ready is the key.

To help manage all of the unexpected issues that arise with supply chain management, remember to keep a sharp eye on suppliers and their connections, make sure technology is up-to-date, keep communication tight within the supply chain, source locally as much as possible, attend conferences and training seminars, and consider consulting experts when necessary.

Being prepared when supply chain problems arise will enable your business to sail through any of the accompanying risks that you face and still remain successful and competitive.

At Global Training Center we have a wide variety of courses to offer; seminars, webinars, on-demand, and private sessions. Feel free to contact us for more information or to enroll for any of our classes. We have first-hand knowledge and trained, experienced professionals to help you get the best education and help you get started in the right direction.

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