- The sub-tier part risk for Tier 1 supplier is the resiliency risk of its lower-tier PPN, and the resiliency risk of the lower-tier PPN is calculated based on all the risk factors available against that part.
Example: - Supplier A has a sub-tier supplier B, which supplies Part 1.
- The resiliency risk score of Part 1 flows to Supplier A as the sub-tier part risk score.
- If the sub-tier supplier has multiple parts, the system calculates the average or maximum resiliency risk score (based on the selected setting in the risk settings page) and assigns it to the Tier-1 supplier.
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