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  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    1

    1

    Supply Chain Resilience & supply chain strategy

    Professor Richard WildingCranfield School of Management

    www.cranfield.ac.uk/somwww.richardwilding.info

    Prof. Dr. Richard WildingCentre for Logistics & Supply Chain ManagementCranfield School of Management, Cranfield, Bedford, England, MK43 0AL.Tel: +44 (0)1234 754170 Fax: +44 (0)1234 751712 Email: Richard.Wilding@cranfield.ac.uk

    2

    Cranfield School of Management is

    Cranfield University ..

    Established 1946 - TO 136m

    2,000 employees

    3,000 postgraduate students:- 73% on taught degrees- 27% research

    Two 3*/4* hotels on campus

    Over 10,000 alumni in 110 countries

    4th busiest airport in the UK!

    One of the largest postgraduate management schools in Europe

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    2

    3

    Themes & Agenda

    The sources of Supply Chain Risk. Linking Supply Chain Risk Management to the strategic

    process Risk mitigation strategies within the supply chain. Competitive Supply Chain Resilience Relating Supply Chain Risks to wider business

    consequences classifying your competitive processes. Instigating action to involve all stakeholders in improving

    Supply Chain Resilience and Competitiveness.

    2007 by Dr Richard Wilding

    4

    Innovation & Risk Reduction

    Innovation is all about creating value, economic value, social value and/or environmental value through the application of ideas that are new to YOU.

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    3

    Better Together! My Linkedin Network.

    5

    We live in a networked world!The Nespresso Coffee Supply Chain Network

    Source: Alvarez, Pilbeam and Wilding 2009

    Nespresso

    Expocaf/Cafexport

    Volcaf

    Neumann

    Ecom CRica

    Ecom Mex

    Ecom Guat

    RFA CRica

    SAN Guat

    SAN Mex

    Fundanatura

    Fed NacCafColb

    NeumannColb?

    Ecom Orosi

    VolcafCRica

    Ecom LGiorgia

    NeumannHuila?

    VolcafS Dgo

    FNCNario

    FNCCauca

    EC Jardn?

    ECCaldas

    EcomProj

    IFC

    EcomProj

    Global

    National

    Local

    NespressoCA

    NespColombia

    RFA

    Processors and or exporter

    NGOInternational development agency

    Ecom

    Cooxup

    EFICO

    Cooxup

    Imaflora

    Other?

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    4

    7

    How are the following related?

    The Seven Valley Steam Railway

    Leather Luxury Car Seat

    Gilbert PresentationRugby Ball

    How are the following related?

    8

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    5

    What can destroy your supply chain?

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    What can destroy your Supply Chain?

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    6

    11

    What events destroy your Supply Chain?

    12

    What events destroy your Supply Chain?

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    7

    13

    What can destroy your Supply Chain?

    Are you happy with the iphone supply chain?

    Source: http://images.apple.com/supplierresponsibility/pdf/Apple_SR_2011_Progress_Report.pdf

    Audit reveals child labour, poisoned workers at Apple Suppliers

    137 workers at the Suzhou facility of Wintek had suffered n-hexane poisoning.

    91 cases of underage workers were found in ten factories. In one plant, 42 children were discovered.

    Apple Supplier Responsibility 2011 Progress Report

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    8

    What resources are you currently experiencing shortages of?

    15

    Oil

    Land

    People

    MetalsFood

    Money

    Energy

    16

    Not long now until Coffee!

    WWF 2009 - http://www.worldwildlife.org/ted/change.html

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    9

    17

    Water is the new CO2!?

    0.1 for the water itself2.5 to make the plastic lid5.5 to make the paper cup and sleeve7.5 to grow the sugar for one teaspoon.49.5 to feed the cows that make the milk143 to grow the coffee

    208.1 LitresWWF 2009

    18

    Peak Oil Changing the Risk Profile of the Supply Chain

    Source: Professor Martin Christopher, Cranfield School of Management 2008.

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    10

    19

    Peak Oil

    Source: Professor Martin Christopher, Cranfield School of Management 2008.

    20

    .. As peaking is approached, liquid fuel prices and price volatility will increase dramatically, and without timely mitigation, the economic, social and political

    costs will be unprecedented.

    US Department of Energy, 2005

    Source: Professor Martin Christopher, Cranfield School of Management 2008.

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    11

    21

    Options for reducing the risk of peak oil on your supply chain.

    More local for local manufacturing based on small footprint manufacturing practices

    Greater levels of collaborative working and asset sharing to improve transport utilisation

    Leverage economies of scale through bigger vehicles and vessels (e.g. Emma Maersk)

    Utilise postponement techniques to enable low cost country sourcing of vanilla products to be moved in bulk for local finishing

    Re-work network optimisation calculations based on a $200 barrel of oil cost and realistic carbon cost

    Source: Professor Martin Christopher, Cranfield School of Management 2008.

    22

    Sources of Supply Chain Risk

    EXTE

    RNAL

    INTE

    RNAL

    Vulnerability= RISK +

    EXPOSURE ControlCommunication, Contracts, IPR, Organisation,

    Compliance, KPIs

    SupplyLead times, unreliability,

    visibility,IPR leakage,

    ethics

    Environmental,Government Regulations,

    Security, Customs, Tariffs & Quotas

    Ethics

    DemandUncertainty

    within the lead time, margin and markdown

    management

    Mitigation / Contingency

    Planning, Back up, Safety cover, disposal channel

    ProcessForecasting, Flow

    control,Documentation, IT integration,

    Costing

  • Supply Chain Resilience & supply chain strategy

    Prof. Dr. Richard Wilding, Professor of Supply Chain Strategy.

    Prof. Dr. Richard Wilding, Centre for Logistics & Supply Chain Management, Cranfield School of Management, Cranfield, Bedford, England, MK43 0AL www.richardwilidng.info

    Notes:

    Notes:

    12

    Uncertainty Generation in Supply Chains.

    Amplification

    Parallel Interaction

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