Having a solid risk management strategy in place is one of the core parts of building a robust supply chain. Although CEOs and others in the C-suite can’t prevent adverse events such as natural disasters from happening, they can influence how well-prepared their companies are when the unexpected occurs.
Take last year’s flooding in Colorado as an example. Citing data from the Colorado Department of Transportation (CDOT), Fleet Owner reported that flooding destroyed approximately 30 bridges in the northeastern and eastern areas of the state, with 20 more bridges seriously damaged and numerous roadways compromised.
“A lot of these areas experienced a year’s worth of rainfall in just three days; it’s created an unbelievable challenge for our members,” Greg Fulton, president of the Colorado Motor Carriers Association, told the news source.
In an effort to help get things back on track, CDOT waived hours of service regulations that would have restricted drivers from bringing essentials to the areas affected by the flooding, but getting back to business as usual is still expected to be a long road.
“There’s no easy silver bullet to solve all of this,” said Fulton. “It will just take a lot of time.”
That said, firms with predetermined strategies for adjusting to road closures and other hurdles will be able to pick back up much more quickly than their less-prepared counterparts. Professionals representing businesses with contingency planning methodologies in place are ahead of the game due to their solid operational and financial knowledge of their companies.
Making metrics work for you
Another critical part of modern supply chain management involves harvesting relevant data and turning it into meaningful metrics that can inform future operations.
“Supply chain optimization, and utilizing the information gleaned from it, can result in benefits such as improved customer service, increased profitability and successful operational launch efforts in new sectors and geographies,” Patton wrote.
By leveraging sophisticated tracking tools to measure a range of performance indicators, companies can identify trends, zero in on areas that need improvement and take the necessary steps to minimize issues and maximize results. Members of the C-suite can leverage this type of data to back up their aforementioned operational and financial knowledge. With this knowledge, solid data analysis and a robust supply chain infrastructure impervious to single node failure that can cause the chain to break, professionals are well-positioned to face risk. Businesses that tap executive recruiting firms for assistance in securing C-level positions should keep this in mind during their search for potential candidates.
About Caldwell Partners
Caldwell Partners is a leading international provider of executive search and has been for more than 40 years. As one of the world’s most trusted advisors in executive search, the firm has a sterling reputation built on successful searches for boards, chief and senior executives, and selected functional experts. With offices and partners across North America and in London, the firm takes pride in delivering an unmatched level of service and expertise to its clients.