3 tips for weathering supply chain disruptions
One key aspect of most businesses is its supply chain. For some, it is an essential part of their operations and, without it, critical losses can occur.
The frustrating thing about supply chain disruptions is that, much like distributions from severe weather or natural disasters, its often unavoidable and is of no fault of your own. As such, much like a plan for a hurricane or earthquake, disaster recovery plans have to include supply chain interruptions.
Here are some tips for supply chain disruption planning:
- Backups. When selecting a suppliers and logistics company's, make sure to continue your research to find backups for all aspects of the supply chain. This has two benefits: if there are business concerns with one of your current providers, you already have a list of alternatives if you chose to switch, and it allows you to quickly hire an interim supplier if your current one is unavailable. Also, err on the side of caution and select multiple backups for each, not just one.
- Prioritize for critical functions. As part of normal disaster recovery planning, you identify which operations are essentially to get back up and running as soon as possible. When doing this, take into these areas' reliance on the supply chain. This will allow you to better co-ordinate relief efforts when needed.
- Supplier history. Extend your research to include supplier history. This will give you an idea on which companies are reliable and which are prone to disruptions. Of course, even the most reliable of providers can have something happen to them, but selecting one with a strong historical background will help you mitigate the chances of a disruption occurring.
There are so many factors to keep in mind when disaster planning that it can help to have an extra pair of hands working on the problems. Investing in disaster recovery consulting is the best way to bring experts in to ensure your strategies are up to par.