Results
Benefits of Supply Chain Risk Management
Government agencies that focus on Supply Chain Risk Management can withstand scrutiny under fire and serve as a model to other agencies. By actively incorporating this dimension into overall supply chain management efforts, they can reap many benefits:
- Increase Performance. By managing risk with greater precision, agencies often can drive throughput more rapidly and accurately through their supply chains. They can reduce volume and lead times – ensuring delivery of the right product, in the right place at the right time.
- Reduce Costs. Risk management enables agencies to intelligently and actively plan for possible disruptions instead of reacting and responding to them. By identifying how to prevent disruptions or smartly respond to them when they do occur, agencies can dramatically reduce operational costs.
- Preempt and Mitigate Risks. By systematically implementing a Supply Chain Risk Management methodology, agencies can preempt and mitigate risk. Through risk management, agencies secure supply chains, address potential threats, and prevent or diminish operational disruption.
