Building up supply chain resilience
October 28, 2024
The resilience of supply chains
Resilience is a versatile term these days. In the supply chain sector, resilience refers to the ability to avoid and/or mitigate the effect of certain supply chain disruptions. Supply chain risks can be broken down into operational and disruptive risks. Operational risks occur in daily business and usually cause limited damage (e.g., quality problems or delayed deliveries). Disruptive risks are individual events that are associated with a high potential for damage and a high degree of uncertainty. Such events as natural disasters or geopolitical conflicts can occur unexpectedly and cause long-lasting disruptions and delays.
