The weaknesses of global supply chains are in the spotlight once again, this time due to the Coronavirus pandemic.
The problem isn’t new. The 2011 Tohoku Earthquake and Tsunami in Japan exposed weaknesses in multinational companies’ supply chains that resulted in loss of revenue and market capitalisation.
Nor is it going away. Impact from the climate emergency and rising political tensions increase the prevalence of and amplify the impact of natural and human-made disasters.
80% of companies see better protection of supply chains as a priority but how should businesses respond?
In their latest edition, Harvard Business Review carried a practical guide on managing sourcing risk. In it, they recommend:
- Identify so-called ‘invisible’ 2nd and 3rd tier suppliers, which are common weak points, through comprehensive mapping of your supply chain.
- Use the two dimensions of revenue impact and risk of supply chain disruption to prioritise monitoring and risk mitigations.
- Invest in 24 x 7 monitoring of the ‘everyday news that could cause disruptions in the coming days’ to your supply chain.
How ScoutAsia can help
Every day ScoutAsia’s artificial intelligence and natural-language processing technology reads thousands of pieces of content from Asia’s most reputable news, industry and trade publications looking for signs of distress that could threaten your business, including:
- Regulatory Actions: censures, business suspensions, regulatory investigations, regulatory breaches, litigations, and corporate crimes.
- Severe Business Disruption: cyber disruption events, terrorist attacks, natural disasters, industrial accidents, strikes, nationalisation and supply chain problems.
- Financial Distress: bankruptcies, insolvencies, credit defaults, distressed loan structures or liquidity issues.
Supply chain media monitoring
Our system then picks the articles most relevant to you and sends them to you in an easy to read daily morning digest email.
In this way ScoutAsia works as an advanced alert and warning system for emerging threats to your business’ Asian supply chain.
New features released to ScoutAsia, including three new Scout AIs and easier to read Singapore Stock Exchange announcements.