Let's look into what the ISO 37301 compliance management systems standard is. This standard enables organizations and businesses to put in place an effective compliance management system where senior management is accountable, and … [Read more...]
Removing Probability Analysis from Risk Management?
Over the weekend, I read a book called Risk: a User's Guide. The authors, which include former general McChrystal, make an interesting point about the use of probability. First, let's look at the traditional approach to … [Read more...]
Supply Chain Risk Management: No, Toyota Doesn’t Always Do Just-In-Time
I ran into a very interesting article from Bloomberg entitled How Toyota Steered Clear of the Chip Shortage Mess. Nearly all automakers announced that they would have to cut their production numbers due to a serious shortage of … [Read more...]
Supply Chain Risk Management, Part 4: How Much Inventory Do You Need?
If you make sure to sit on 6 months of inventory for every one of your major products, you will run much lower risks of being unable to supply your customers with what they need. You might even be able to cut a current manufacturer off and … [Read more...]
The Biggest Manufacturing Risk These Days: Short Term Focus
Back in February (which seems to be a long time ago), I wrote that that number 1 manufacturing risk for importers was quality issues and the number 2 was delivery delays. (I also mentioned "lower demand on your market" because we were … [Read more...]
Supply Chain Risk Management, Part 2: The Business Continuity Plan
In this post, let's focus on disaster prevention, and more specifically on the business continuity plan, with a simple example. We will also provide you with a free template. This is the second post in our series of Supply Chain Risk … [Read more...]
Supply Chain Risk Management, Part 1: What are VUCA and Black Swans?
We seem to be at a pretty low point right now: Billions of people are confined at home. Economists are predicting a disaster and seem to think 2020 will probably be worse than what most of us can remember. The behavior and … [Read more...]