Supply Chain Model CTBSP / TACSS CTBSP / TACSS AEO AEO FSR FSR TSR TSR TSR TSR NASP National Security Program National Security Program Customs-Trade Partnership Against Terrorism/C-TPAT Security Management 3
Supply Chain Resilience and Supply Chain Security "* Adverse weather was the main cause of disruption around the world, with 53 per cent citing it – up from 29 per cent last year. "* Unplanned IT and telecommunication outages was the second most likely disruption and the failure of service provision by outsourcers was third, up to 35 per cent from 20 per cent in 2009. These incidents led to a loss of productivity for over half of businesses. "* 20 per cent admitted they had suffered damage to their brand or reputation as a result of supply chain disruptions. For ten per cent of companies the financial cost of supply chain disruptions was at least 500,000 euros.
Supply Chain Resilience and Supply Chain Security "* Where businesses have shifted production to low cost countries they are significantly more likely to experience supply chain disruptions, with 83 per cent experiencing disruption. The main causes were transport networks and supplier insolvency. "* 50 per cent have tried to optimise their businesses through outsourcing, consolidating suppliers, adopting just-in-time, or lean manufacturing techniques. "* Only 7 per cent had been fully successful in ensuring suppliers adopted business continuity management practices to meet their needs, with nearly a quarter not taking this step. Even when suppliers were regarded as key to their business, nearly half of respondents had not checked or validated their supplier's business continuity plans.
What Business Continuity aims to do? Identify potential business interruption risks Provide a framework for ensuring resilience, contingency and capability of effective responses that secures the supply chain, safeguards the commitments to our customers, our reputation, brand and value creating activities. Safeguard for Revenue & EBIT Safeguard for Revenue & EBIT
Reactions Global Crisis Team set up to support local DPO team Emergency communications were activated to establish the safety status of employees and their families. Emergency relief, worth 100Euros, shipped to Japan for customers and employees Accommodations were reserved in Osaka and Nagoya for employees staying in Tokyo to support evacuations. Alternate working arrangements made (ex. Work from home)
Key Considerations in Managing Supply Chain Disaster