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PROTECTING YOUR PROFITS AND REPUTATION AGAINST SUPPLIER FAILURE docente: nick wildgoose
Apresentação
docente
Many organisations are seeking to reduce costs and improve working capital management at the same time as relying increasingly on their suppliers. The context in which they are relying on their suppliers is likely to involve a combination of some of the following aspects: global sourcing, single sourcing and just-in-time operations. These decisions are being taken against a background of increased market shortages and complexities within supply chains. Paradoxically, the actions taken to drive down costs are likely to drive risk into the supply chain.
Nick Wildgoose is the Global Supply Chain Product Leader for Zurich Insurance. He brings a unique combination of skills and insights being a qualified accountant and supply chain professional who has held a variety of global financial, supply chain and commercial positions in a number of industry sectors, working for companies such as PriceWaterhouseCoopers, BOC Group, The Virgin Group, and currently Zurich Insurance Group. He also works with the World Economic Forum serving as a specialist advisor on the topic of systemic supply chain risk and on the Global Agenda Council on Catastrophic Risk. He is currently Chairman of the Supply Chain Risk Leadership Council a group of major corporates and top academics including Boeing, Cisco, Wal-Mart and Rolls Royce looking to advance best practice in supply chain risk management.
The impact supply chain disruptions can have on your company performance should be thought about. PricewaterhouseCoopers’ analysis of 600 US companies during the period 1998 to 2007 found that companies that had suffered a supply chain disruption suffered a 9 per cent fall in their share price compared with a benchmark group. Academic studies have also shown even more significant impacts, so it is clear that if a supply chain disruption is suffered, a very significant impact on profitability and shareholder value should be expected. This also does not fully factor in the potential reputational damage as evidenced by the 2013 European horsemeat scandal.
He has spoken and written on a number of topics related to business intelligence and supply chain management. He has also served on the Board of the Chartered Institute of Purchasing and Supply which if the biggest professional body in the world with around 70,000 members. He has spent the last 4 years developing and implementing innovative and award winning supply chain risk products for mid and large sized corporates across Europe and North America. Helping to provide risk insights into real issues they are facing in terms of their business performance.
How likely is it that your organisation will face a supply chain disruption? A major Business Continuity Institute study in October 2012 indicated that around 74 per cent of companies had had a supply chain disruption over the previous 12 months. With the increased globalisation of the world’s economy and ever-growing reliance on third parties, it is very likely every business will experience significant supply chain interruptions. It is important therefore to look at reducing the frequency and impact of these.
Porto Business School
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