Managing the unknown within your supply chain

1. John Kinge
Technical Director
Santia Consulting Ltd

2. © Santia Consulting Ltd 2015
The facts we all know…..

3. © Santia Consulting Ltd 2015
The facts we all know…..
• Globalisation has made today’s supply chain
more complex and less visible than ever
before

4. © Santia Consulting Ltd 2015
The facts we all know…..
• Globalisation has made today’s supply chain more complex
and less visible than ever before
• Lack of visibility creates the unknown and
managing the unknown is an impossible
task

5. © Santia Consulting Ltd 2015
The facts we all know…..
• Globalisation has made today’s supply chain more complex
and less visible than ever before
• Lack of visibility creates the unknown and managing the
unknown is an impossible task
• Obtaining visibility can be complex and
costly

6. © Santia Consulting Ltd 2015
The facts we all know…..
• Globalisation has made today’s supply chain more complex
and less visible than ever before
• Lack of visibility creates the unknown and managing the
unknown is an impossible task
• Obtaining visibility can be complex and costly
• The real cost of failing to adequately
manage a supply chain is higher than ever –
bottom line, reputation and brand

7. © Santia Consulting Ltd 2015
Ticking time bomb
• It is not a case of if a supply chain failure occurs but when!
• A recent international survey of supply chain professionals*
showed that 81% of respondents reported a significant
supply chain disruption last year.
• 75% of those surveyed, do not have full visibility of their
supply chain.
• On average 35% do not perform health and safety audits,
55% do not carry out checks on financial reports and 61%
do not perform anti-bribery and corruption audits
* Business Continuity Institute – Supply Chain Resilience 2014

8. © Santia Consulting Ltd 2015
Changing landscape
• The explosion of social media means that the good and
the bad can be across geographic and international
borders in minutes
• Consumers’ values, standards and ethical expectations
are higher than ever
• Myriad of regulation, heightened consumer awareness,
agility of international and social media are all
considerations of a supply chain owner.
• Supply chain management is no longer an after thought
for CFO’s, CEO’s and investors as brands and businesses
can be built or destroyed over night.

9. © Santia Consulting Ltd 2015
Can you answer the following?

10. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?

11. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?
• What proportion are direct versus
indirect?

12. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?
• What proportion are direct versus indirect?
• Do you actively validate / verify your
suppliers?

13. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?
• What portion are direct versus indirect?
• Do you actively validate / verify your suppliers?
• Does your supply chain reflect your
corporate values?

14. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?
• What proportion are direct versus indirect?
• Do you actively validate / verify your suppliers?
• Does your supply chain reflect your corporate values?
• Are any of your suppliers in political or
environmental hot spots?

15. © Santia Consulting Ltd 2015
Can you answer the following?
• How many suppliers do you have?
• What proportion are direct versus indirect?
• Do you actively validate / verify your suppliers?
• Does your supply chain reflect your corporate values?
• Are any of your suppliers in political or environmental hot
spots?
• Can you clearly articulate where the
risks are and what improvements need
to be made?

16. © Santia Consulting Ltd 2015
How do you assess your risk?
Identify your
suppliers
Understand
how they
operate
Review current
assessment
process
Identify weak
spots, risks &
opportunities
Develop a risk
mitigation
strategy

17. © Santia Consulting Ltd 2015
https://www.youtube.com/watch?v=hGnN-wDZvnc
Introducing Profiler – the low cost easy to
implement supply chain assurance tool

18. © Santia Consulting Ltd 2015
Summary
• Globalisation is driving complexity and obscuring lines of
visibility up and down stream within supply chains
• Obtaining visibility is the critical first step
• A simple and inexpensive approach can be taken to limit
risk.

19. © Santia Consulting Ltd 2015
The Supply Chain Assurance Tool
TM
Delivering you peace of mind
for as little as £10k per annum.
profiler@santiaconsulting.com
santiaconsulting.com