Supply Chain Risk

Supply Chain Risk is the likelihood and consequence of an event, at any point in the end-to-end supply chain, to disrupt the normal flow of supplies and/or result in negative impacts to downstream channel product flows and supporting infrastructure and services. Supply chain risks can manifest in an innumerable amount of ways; however, for practical purposes, supply chain risks can be distilled into the following categories: • Process-oriented risks at production sites • Supplier-oriented risks at direct or indirect supplier sites • Upstream and downstream transportation/logistics risks • Operational risks at the agency, department, division, branch, unit or corporate level; • Regulatory risks (i.e., legislative, compliance, intellectual property, sovereign) at the country or regional level for multinational enterprises.