RISCAuthority, the insurer funded industry research scheme administered by FPA, has launched a free online toolkit to help companies understand which suppliers would have most impact on their business in the event of an interruption
The website, www.riscauthoritysupplychain.com, has been developed in response to a climate of rising instances of UK businesses suffering supply chain disruptions and failing to recover.
Created by business continuity experts including leading UK commercial insurers, the website poses a series of simple questions with dropdown answers, which are then scored to establish a red, amber or green scoring matrix of supplier vulnerability. By helping companies prioritise their key suppliers, effort can be focussed on managing the greatest risk and impact of any supply chain disruption. The tool is further supplemented with free guides and simple plain English messages, to help businesses understand and adopt measures to increase their resilience to any potential supply chain failure.
Dominic Louks, Convenor of the RISCAuthority Business Continuity Working Group which led the development, states “Supply chains are becoming ever increasingly global and complex, whereby even a relatively small disruption can have serious consequences for a business; you might not be able to deliver products or services to customers, impacting on your profit, brand and reputation. Unfortunately there is very little control over the causes to disruptive events in the supply chain - which can range from environmental catastrophes, to IT shortage, machinery failure and potential Brexit custom delays - however, businesses are better able to understand and manage the consequences of these events with the aid of our new supply chain website.”
The website has been developed and financed by RISCAuthority, a research scheme that manages technical research and publishes best practice guidance on behalf of the UK's leading commercial property insurers. One of the scheme's key objectives is the dissemination of knowledge and information to help support their customers on property protection and business resilience matters. With business interruption claims on the increase, this tool has been developed to help businesses establish a stronger, more robust supply chain. Lachie Brown, Risk Consultant Team Leader at RSA insurance and member of the project development team, adds “This supply chain toolkit will help companies easily identify which suppliers are key to their business which will help give a clearer understanding of their supply chain exposure. By working with your suppliers and identifying any potential issues, you can build greater resilience into your own supply chain arrangements and give your business a competitive advantage.”
Dr Jim Glockling, RISCAuthority Director concludes, “RISCAuthority is developing an industry wide reputation for the provision of free, authoritative and state of the art guidance and resources to support UK business from a wide range of risk challenges. The launch of our new supply chain impact assessment web tool meets the scheme’s core objectives and purpose of helping insurers and their customers understand known risks to their business and helping them become more resilient.”