managing the unknown within your supply chain

John KingeTechnical DirectorSantia Consulting Ltd

© Santia Consulting Ltd 2015

The facts we all know…..



• Globalisation has made today’s supply chain more complex and less visible than ever before




• Lack of visibility creates the unknown and managing the unknown is an impossible task





• Obtaining visibility can be complex and costly





• Obtaining visibility can be complex and costly

• The real cost of failing to adequately manage a supply chain is higher than ever – bottom line, reputation and brand


Ticking time bomb• It is not a case of if a supply chain failure occurs but when!• A recent international survey of supply chain professionals*

showed that 81% of respondents reported a significant supply chain disruption last year.

• 75% of those surveyed, do not have full visibility of their supply chain.

• On average 35% do not perform health and safety audits, 55% do not carry out checks on financial reports and 61% do not perform anti-bribery and corruption audits

* Business Continuity Institute – Supply Chain Resilience 2014


Changing landscape

• The explosion of social media means that the good and the bad can be across geographic and international borders in minutes

• Consumers’ values, standards and ethical expectations are higher than ever

• Myriad of regulation, heightened consumer awareness, agility of international and social media are all considerations of a supply chain owner.

• Supply chain management is no longer an after thought for CFO’s, CEO’s and investors as brands and businesses can be built or destroyed over night.


Can you answer the following?


Can you answer the following?

• How many suppliers do you have?


Can you answer the following?• How many suppliers do you have?

• What proportion are direct versus indirect?


Can you answer the following?• How many suppliers do you have?• What proportion are direct versus indirect?

• Do you actively validate / verify your suppliers?


Can you answer the following?• How many suppliers do you have?• What portion are direct versus indirect?• Do you actively validate / verify your suppliers?

• Does your supply chain reflect your corporate values?


Can you answer the following?• How many suppliers do you have?• What proportion are direct versus indirect?• Do you actively validate / verify your suppliers?• Does your supply chain reflect your corporate values?

• Are any of your suppliers in political or environmental hot spots?


Can you answer the following?• How many suppliers do you have?• What proportion are direct versus indirect?• Do you actively validate / verify your suppliers?• Does your supply chain reflect your corporate values? • Are any of your suppliers in political or environmental hot

spots?

• Can you clearly articulate where the risks are and what improvements need to be made?


How do you assess your risk?

Identify your suppliers

Understand how they operate

Review current assessment

process

Identify weak spots, risks & opportunities

Develop a risk mitigation strategy


https://www.youtube.com/watch?v=hGnN-wDZvnc

Introducing Profiler – the low cost easy to implement supply chain assurance tool


Summary• Globalisation is driving complexity and obscuring lines of

visibility up and down stream within supply chains

• Obtaining visibility is the critical first step

• A simple and inexpensive approach can be taken to limit risk.


The Supply Chain Assurance Tool

TM

Delivering you peace of mind for as little as £10k per annum.

[email protected]

managing the unknown within your supply chain

Business

todays supply chain

supply chain failure

supply chain owner

supply chain management

lack of visibility

impossible task

corporate values

agility of international