Security, visibility and resilience: the keys to mitigating supply chain vulnerabilities

Outsourcing of key processes and/or capabilities that are not considered core is increasing. Technology allows this transformation as falling information processing costs and increasing global connectivity allow firms to collaborate more easily. This shift has led to an increased reliance on efficient, well coordinated supply chains. As operations become more dependent upon responsive supply chains, the likelihood that disruptions or disturbances in the supply chain will result in adverse consequences increases. In stunning fashion, the tragic events of 9/;11 highlighted some of the risks associated with the dependence on supply chains to move products and information continuously. The risk that a firm will be adversely affected by a significant disruption or disturbance is called a supply chain vulnerability. The keys to mitigating such vulnerabilities are presented and the interrelationships between them are explored herein. To minimise these vulnerabilities, firms should ensure security visibility and resilience throughout their supply chain networks.