Here is his advice for strengthening your logistics operations. Implement a strategic supply chain plan that mitigates the impact of disruptions. All must play a role in its protection. The tremendous benefits we all reap from an interdependent global economy means that we are all stakeholders in the security of that system.
Over the next six months, U. The trend toward lean inventory means many contemporary supply chains are "taut" or "brittle," and therefore vulnerable to disruptions.
For instance, just three days after the earthquake, tsunami and nuclear tragedies struck Japan last March, U. Security and confidence in the global supply chain enhance our collective economic strength, rather than impeding progress.
Compare the cost of stockpiling inventory against the risk of losing sales and customers, and creating a negative impact on bottom-line profitability. As globalization brings nations closer together, we need to jointly disprove and leave behind the notion that security and efficiency cannot coexist, and together build a security architecture that better uses information to assess risk.
Put alternative raw materials and manufacturing sourcing plans in place. Just as important, we must move away from the outdated dichotomy that we have to choose between trade and travel efficiency, and trade and travel security.
Design long-term strategies as well as responses to short-term disruptions. Risk Management Most companies know supply chain vulnerability poses a threat to their operations, yet few perform analysis or plan strategies to minimize risk to the bottom line. By Janet Napolitano January 27, Every day, staggering numbers of air, land and sea passengers, as well as millions of tons of cargo, move between nations.
Perform a supply chain vulnerability audit. First, we will maximize resources and expertise from across the United States government to find smarter and more cost-effective ways to address security threats.
In the days that followed, they did the same at their factories in more than 10 countries around the world. Businesses can protect against disruptions by adding supply chain redundancy, says Dr.
Start with your customers and the products they purchase, and work back to raw materials suppliers. You can continue shipping products to customers—if you have alternative transport plans. International trade and commerce has long driven the development of nations and provided unprecedented economic growth.
Our mutual understanding of this changed relationship will help us better secure the global supply chain, better promote trade and travel and ensure future economic growth.
Because protecting the global supply chain is inherently an international challenge, it will take an international effort to meet it. The supply chain is vast and complex, touching points of manufacturing, assembly, consolidation, packaging, shipping, and warehousing, as well as supporting communications infrastructure and systems.
We will seek to develop and implement global standards, strengthen detection, interdiction, and information-sharing capabilities, and promote end-to-end supply chain security efforts with the international community.
The National Strategy, created with the input of more than 60 subject matter experts and hundreds of supply chain stakeholders, takes a whole-of-nation approach to global supply chain systems, with two explicit goals: Take a holistic view of your supply chain to determine optimal network designs that ensure products are manufactured in the right location at the right time and will ship to the right customers.
These include critical location, customer, capacity, raw materials, and crisis response analysis. We will pursue this strategy in three main ways: Security and efficiency must no longer be seen as mutually exclusive. CFOs and others involved in corporate risk analysis and reporting need to take a realistic view of business risk from unimaginable real-world events, which have a very real probability of occurring.
Ruptured transportation means products and parts face delays in getting to customers. Create a balance between supply chain network efficiency and operations resilience. Second, we will seek to foster an all-of-nation approach to leverage the critical roles played by domestic governmental and private-sector partners.
Determine optimal inventory policies and levels to sustain your company. Do rigorous "what-if" analysis. This includes developing common standards, streamlining our processes and enhancing our information sharing.
Too much inventory at the wrong location adds to bottom-line costs. Develop mitigating strategies from the C-level. And third, we will continue to think globally, enhancing our coordination with the international community and international stakeholders who have key supply chain roles and responsibilities.
Make sure you have multiple transportation plans in place. Ten years after the terrorist attacks of Sept.Supply chain management (SCM) is the management of a network of interconnected businesses involved in the ultimate provision of product and service packages required by end customers.
Supply Chain Management spans all movement and storage of raw materials, work-in-process inventory, and finished. What is the role of Transport within the Supply Chain? Transport plays a critical role in the supply chain and according to Bhattacharya et al.
() it is becoming one of the key components of the whole supply chain valuation for many organizations. Essay; Protecting Yourself from Identity Theft Essay; Summary of the Policies and.
The larger a company’s supply chain, the more vulnerable the company becomes. When the company’s suppliers spread further and further away from the company, the company becomes even more vulnerable to political and currency risk, cyber attacks, missed inventory goals, and failed communication.
Protecting The Supply Chain - The larger a company’s supply chain, the more vulnerable the company becomes. When the company’s suppliers spread further and further away from the company, the company becomes even more vulnerable to political and currency risk, cyber attacks, missed inventory goals, and failed communication with the supply.
Most companies know supply chain vulnerability poses a threat to their operations, yet few perform analysis or plan strategies to minimize risk to the bottom line.
Businesses can protect against disruptions by adding supply chain redundancy, says Dr. Jeff Karrenbauer, president of supply chain. Jan 27, · Napolitano announces that the globalization of the world economy falls within her jurisdiction: The urgent need to protect the global supply chain | The Great Debate Average citizens would assume that the DHS is a U.S.-centric institution, and regardless of its [ ].Download