Spend Matters, a procurement and supply chain information and research hub, has released a report analyzing what technologies, vendors and approaches companies should use to target supply risk at an executive level. The paper, The Intersection of Analytics and Supply Chain Risk Management: Using Intelligence to Drive Early Intervention, is part of a new research series examining the role of analytics within procurement and the supply chain.
Examining approaches from such companies as D&B, Ariba, Emptoris, Oracle, Aravo, SAP and other solution providers, the study provides an analysis of different methods and approaches companies use to build visibility into supplier financial and operational risk metrics.
Jason Busch, principal analyst and lead author of the study, says that while "many companies are confused by the options available to them," they must take action to avoid a variety of supply risk factors in the current economy. When suppliers go bankrupt or otherwise cease operations, Busch suggests that the single cost per occurrence can reach $5m or more.
