We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Chubb: businesses should study their multi-tier supply chains to control risk

Chubb: businesses should study their multi-tier supply chains to control risk

Report follows series of disruption to their just-in-time supply chain models in recent years.

chubb Screen Shot 2023-02-16 at 3.52.48 PM.jpg
February 16, 2023
Supply Chain Quarterly Staff
No Comments

Business can control their risk exposure by developing a better understanding of multi-tier supply chains to limit the impact of disruption, according to a report from the British insurance giant Chubb.

Chubb released the report as businesses have experienced unprecedented disruption to their just-in-time (JIT) supply chain models in recent years, due to both man-made and natural disasters, along with geopolitical events like Brexit, Covid-19, the Russia-Ukraine war, rising inflation, and the risk of a global recession. The impacts have hit labor and goods shortages, container costs, energy access, and other local factors such as workforce strikes and port congestion, Chubb said.

In that environment, robust risk management and business resilience strategies are critical to future-proofing supply chains, Chubb said in a summary of the full report. The paper identified a series of questions that supply chain managers should be asking to develop those capabilities.

First, companies need to understand exactly where their risks lie by mapping the full supply chain and all business processes. That step should help them develop a formal, written business continuity plan (BCP), which is comprehensive and quick to implement in order to minimize operational downtime.

Chubb also found that businesses can build resilience to the challenge of a failed supplier by increasing inventories and accounting for longer repair times. Additional strategies include sourcing from multiple vendors to add flexibility, shortening supply chains to reduce vulnerabilities, and investing in local warehousing and production.

In pursuit of those goals, Chubb listed five questions that businesses should ask themselves: 

  • have you established appropriate capabilities to assess supply chain exposures?
  • has an analysis been conducted to identify supply chain risk accumulations?
  • are you confident that the effectiveness of your supply chain resilience strategy can be demonstrated?
  • has your organization implemented a business continuity management system to a recognized standard?
  • have you created a suitable budget to support business resilience measures?

 "The past few years have taught us that robust risk management and business resilience strategies are critical to future-proofing supply chains. This report series demonstrates how important it is for global businesses to have an understanding of the developing exposures across their supply chains and to be equipped with the right strategies and support to reduce their exposure to business interruption," Peter Kelderman, Marine Risk Management Leader for Chubb Europe and co-author of the report, said in a release.

The full report is available online.

 

 

 

Strategy
KEYWORDS Chubb
  • Related Articles

    Tech companies should do more to eliminate slavery, forced labor in their supply chains, report says

    If businesses learn one thing about supply chains from 2020, it should be the value of wargaming

    Study: Firms sharpen their focus on global supply chains

Recent Articles by Supply Chain Quarterly Staff

Survey: consumers set price cap on paying sustainability premium

Global 3PL market revenue rose 14.5% over 2021, Armstrong & Associates says

Survey: parcel delivery drivers are frustrated by using their own smartphones for work

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Survey: parcel delivery drivers are frustrated by using their own smartphones for work

  • Survey: most Americans unaware that truckers face shortage of parking spaces

  • Best practices in logistics sustainability

  • Supply chain executives not yet seeing expected results from technology investments

  • Postal Service plans to seize items mailed with fake stamps

Featured Video

20221107korber large vs

Enhancing Customer Experience with Your Supply Chain Strategy

Viewer Contributed
With the rise of e-commerce, many businesses have had to transform their warehouses to handle online orders in addition to regularly scheduled inventory shipments. This means warehouses need more information than ever before to ensure they can meet customers' needs. As a result, companies need to select warehouse...

FEATURED WHITE PAPERS

  • Five tips for parcel success in 2023

  • Guide to Pallet Rack Safety

  • 3PLs: Complete Orders Faster with Flexible Automation

  • A shipper's guide to navigating post-pandemic holiday freight

View More

Subscribe to Supply Chain Quarterly

Get Your Subscription
  • SUBSCRIBE
  • E-NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing