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Companies 'need to assess dangers to supply chain'

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Companies 'need to assess dangers to supply chain'

Friday, 24/6/2011 03:38
Firms across the world need to undertake a clear analysis of the risks their supply chains face, according to one industry commentator.

Klaus-Dieter Ruske, partner and global transportation and logistics industry leader at PricewaterhouseCoopers (PwC), was commenting after the publication of a new report called Volume 4 of the Transport & Logistics' 2030 series: Securing the Supply Chain.

The report, which was carried out by PwC and the Supply Chain Management Institute at EBS Business School in Germany, shows that industry experts believe that there is a 70 per cent probability that logistics companies will need to perform obligatory security checks across their whole supply chain.

Screening employees and freight companies, as well as using trusted shipping operators, can help companies to avoid supply chain problems, the report said.

"Enterprises will have to analyse and counteract every possible scenario of danger to protect their supply chains. It is not just about prevention, but also about developing alternatives for the case of emergency," said Mr Ruske.

The comments come just weeks after a piece on the Marsh website by the company's leader of its global supply chain risk management practice, Gary Lynch, noted that today's global marketplace means that companies are exposed to many risks in their supply chain.

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