What are three types of supply chain risks?

Disruptive events that occurred over the last several years fall into three broad categories of supply chain risk: Natural Catastrophes, Man-Made, and Economic. Let’s look at each type of risk and their impacts on supply chains. Supply chains are vulnerable to natural disasters such as storms, floods, and wildfires.

What is supply chain risks?

In a common paper the authors define supply chain risk as “the possibility and effect of mismatch between supply and demand” [67].

Which are risks in supply chain management?

External supply chain risks supply risks — caused by any interruptions to the flow of product, whether raw material or parts, within your supply chain. environmental risks — from outside the supply chain; usually related to economic, social, governmental, and climate factors, including the threat of terrorism.

What is the biggest risk in supply chain?

Top 10 Global Supply Chain Risks

• Political and Government Changes. Political instability ranks 4.3 on a scale of 1-10 regarding its concern for the impact on global trade.
• Economic Instability.
• Extreme Weather Events.
• Environmental Risks.
• Catastrophes.
• Connectivity.
• Cyber Attacks.
• Data Integrity and Quality.

What is supply risk in procurement?

What is supplier risk? Supplier risk refers to any risk relating to the operation or organisation of a supplier that may potentially have a negative impact on the activity of a client company. For many years, supplier risk management has been a major issue for procurement departments.

Which of the following is an example of supply chain risk?

Which of the following is an example of supply chain risk? A change in availability of product due to fire at the supplier. Which of the following is NOT a reason that the interest in supply chains is growing? Demand for products is decreasing.