Currently, presence of faulty ignition buttons in motor vehicles can serve as a wake up shift, to all industries and companies that do not take into account their global supply chain management. Most companies have failed to implement programs that monitor supply chain management risk. The result is enormous problems in their business stability and maintenance of consumers. Business consultants argue that each and every business must closely monitor its supply chain to ensure it sustainability in the business.
Similarly, business consultant’s points out that both smaller and larger companies are affected by disasters resulting from poor management of supply chains. They add up that the supply chain may be affected by the working conditions which at the long last affect the company’s brand globally. Consultants explore that the maintenance of visibility in the supply chain may ensure proper stability of brands in the global market. In the business, the quality of alignment in relation to risk management can be solved by considering a firm supply chain management. A good and workable supply chain management performs greatly beyond single individual companies. It works to embrace and promote multiple joints of the brand suppliers upstream. On the other hand, it ensures customers and service partners downstream, in so doing ensuring the balance in supply of the business by reducing risks.
Supply chain management ensures that companies map all their worldwide supply chain network. These tactics help the company understand the end customer demand and also gain knowledge on the market operations. In the case of disasters, some companies cut cost by reducing the number of brand suppliers. This affects the supply chain though it boosts the purchasing power by decreasing suppliers. In a business set up, supply chain management ensures collaboration and visibility among all supply chain partners.
References.
"Special Section on European Logistics and Supply Chain Management Research 2010." Journal of Business Logistics. 32.1 (2011). Print.
