Conceptually, supply chain "risk" is used to denote perils, loss, dangerous occurrences, hazards, and even vulnerabilities. Risks include everything from management functions to fraud, to fundamental honesty and loyalty issues encompassing every aspect of an organization's status and operations. In addition to the firm's built-in management risks, the international supply chain provides additional third-party risk elements such as foreign shipper practices, carrier practices, weather, foreign government involvement, unforeseen disruptions in the process, timing, language, cargo quality and quantity, even payment issues.

The growth of global trade, internalisation and externalisation of borders, and increased security threats to international supply chains are putting pressure on Customs organizations around the world.

To put China's sustained growth into perspective, when it surpassed the United States in 2010 to become the world's largest manufacturer, its output accounted for 23 percent of global manufacturing. Fast forward two years and China has gained an additional 10 percent of total manufacturing share, with $2.9 tr of the total $8.8tr global manufacturing output, putting their total value at 20 percent more than the US.

Richard Bank and Lisa Harrington, directors of the Sustainable Supply Chain Foundation, bring us up to date on the group's efforts to introduce third-party verification of companies' sustainability programs.

Hennes & Mauritz, selling under the brand H&M, is the world's second-largest apparel company and the biggest buyer of clothes made in Bangladesh. That has put the Swedish retailer in an uncomfortable position after the death of a prominent labor activist a year ago and a garment factory fire that killed more than 100 workers in November.