When vetting potential suppliers and customers, it’s vital to assess their risk-management profiles and strategies, says Danny Thompson, chief product officer at apexanalytix.
There are quite a number of risks that a company may face, but cyber risk is easily the most important one any company today must be ready to combat, Thompson says. While the majority of cyber-related supply chain disruptions is caused by attacks on suppliers, other major categories include financial risk and damage to a company’s reputation.
Monitoring the wide range of risks posed to and by an often-growing number of suppliers is becoming a major challenge for risk managers, Thompson says. “Just finding all of the data sources to assess risk, and then having the bandwidth to digest all of that risk data in order to take action, is pretty overwhelming for these groups.”
Siloed operations add to those managers’ headaches. “Often, they have a diverse group of siloed individuals in their organization, tapping a bunch of boutique siloed risk solutions,” Thompson says. “The risk information they have inside their organizations is spread around, and risk decisions are being made in siloed…
