Question

You are a highly ranked Supply Chain Management executive in your company.

Choose one of these regions:

•Sub-Saharan Africa

•Eastern Europe

•South Asia

And describe how you might analyze risk when dealing specifically with:

•Engineering and Technology

•Procurement

•Logistics

•Customer Service

Answer 1

The region I select from the above given options is South Asia

Now, analyzing the risk factors in the given department of the company

Engineering and Technology

• Risk assessment is must for this department because engineering tools an machinery are examined in this department. They look after the machinery the technology and the design of the product therefore managing the risk is utmost important.
• Identifying the possible hazards that can take place in this department and techniques to mitigate those hazards risk. The analyzes should be inclusive of strategy used in design process.
• Gears and head guard to protect the workers from any life damage risk
• Education and awareness among every skill and unskilled worker.
• Innovating the department with Enterprise Risk Management to look after technology , software and artificial intelligence.
• Scenario analyzes and tracking the history
• Risk strategies inclusive of compliance, mitigation , effective response from the management and the workers.
• Audit and compliance program to monitor the assessment
• Validation and verification on random basis to keep the check
• Outsourcing the consulting firm to help 24*7

Risk analyses in Procurement

• Unethical practices : To avoid these type of practices is must as this will create bad impression in the society and will reduce the brand loyalty. To avoid this creating the small team of five in the Human resource Department to only looks after these activities in the company.
• Breach of Confidentiality : Their are often chances that the client sensitive information is leaked out to the competitors. In this case also the above mentioned team will look after the accused and will punish as per the law mentioned in codes of ethics.
• The procurement strategy is selected wrong: At times the strategy opt is not correct. In this case instead of wasting time money and resource immediate switch to next possible strategy will yield results.
• External factors like earthquake or any natural calamity : These risks are uncertain therefore adoption is the only option and mitigation of these risks are uncertain.
• Wrongly interpretation : Often the listening and speaking can go opposite. In this case management representation letter should be signed clearing the facts and standards of the deal.
• Ethical Dilemma : Often both the options are right but to select and evaluate which options become the difficult task. In this case selecting the long term approach should be done and those evaluation which are of long term should be adopted.

Risk analyses in Logistics

• Risk of loss in transit : Mitigating the risk with insurance
• Theft, lost, hijacked these types of risk can be mitigated by using technology that is using artificial intelligence to monitor the goods .
• The risk associated with perishable items or medicines like expire or failing to meet the quality due to delayed shipment. These can b mitigated using big data analytics.
• Most of the risks associated with department can be mitigated using technology as it helps in tracking.

Risk analysis in Customer Service

• Unethical behavior may break the customer relation management. In this case the company should prepare survey and feedback forms for every quarter to keep the check.
• Unsatisfied customer : to mitigate these types of risk creating customer specific product or offering the bigger discount to regular ones
• Multiple needs at the same time : In case where stores workers are less equal time to every need has to be given so that no one feel unwanted or making them busy with other stuffs i.e.. about the latest arrival or any good scheme going in the market.
• At times you do not have answer to all the problems of the client : Instead of rushing and saying no the store manager should investigate the manner in depth so that client feel about your interest in them and instead of speaking mailing is the better option.
• Default in product : Mitigating it with the rule of caveat emptor i.e.. let the buyer beware

CONCLUSION :

Hence there are risks which can be seen and forecasted for those mitigation measures should be decided in advance and prompt action should be taken. However certain risk which are not in our control and are due to unavoidable reason cannot be mitigated hence adopting them and mitigating the destruction is the only option left. Therefore for proper risk assessment proper forecasting and futuristic approach should be done