May 16, 2016

An Ode to Cloud Technology's Transformative Role in Modern SCRM

Wayne Caccamo

Cloud or Software-as-a-Service (SaaS) as a technology and business deployment model has won the war versus the traditional on-premise model for software, as it has transformed the development, delivery, and deployment of most categories of business applications. The economic benefits are well known and proven at this point such as ease of deployment, maintenance/upgrades, and financing (e.g. annual subscription versus one-time license). As a result, virtually all new applications are developed for the cloud; on-premise application development is in maintenance-only mode.

But, you knew that.

What you may not fully appreciate is that, in the case of supply chain risk management (SCRM), the cloud has not only transformed the economics of delivering tools that automate existing processes, but it has transformed what is possible.

As a result of cloud technology, the SCRM process has been completely redefined by the enablement of two core capabilities that can be described as the pillars of a true paradigm shift.

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May 06, 2016

Black Swan Events: A Double-Edge Sword for Supply Chain Resiliency Proponents

Wayne Caccamo

In 2011, the unthinkable occurred in Japan. A massive earthquake triggered a tsunami which, in turn, triggered a nuclear power plant meltdown, all of which combined to create a humanitarian disaster of epic scale. It is during times like these that many companies rethink their supply chain vulnerabilities and threat matrices. The result is an upswing in interest in supply risk management and resiliency strategies and initiatives and associated technology solutions.

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March 03, 2016

Supply Chain Risk Management & Supply Chain Resilience: Is There a Difference?

Wayne Caccamo

I hear the terms supply change risk management (SCRM) and supply chain resilience used interchangeably by industry practitioners, stakeholders, solution providers, and industry analysts alike. So, are we essentially talking about the same thing or do we invoke one term over the other in certain circumstances to convey something different?

For all practical purposes, both terms describe the same business discipline and process and, as such, cover the same ground when you break down the concepts into its various components. However, the message that they each evoke is very different. They both describe the same “glass”, but one describes the glass as half-full (resilience) and the other half-empty (SCRM).

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October 29, 2015

Rethinking Black Swan Events for Modern Supply Chain Risk Management

Wayne Caccamo

Black swan supply chain events have been traditionally associated with (if not formally defined as) improbable, rare, or unlikely events that have severe or even catastrophic business impact. However, as a result of a number of socio-economic factors it’s time to update our view of black swan supply chain events.

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October 26, 2015

Hurricane Patricia: The First Supply Chain Event Definitively Connected to El Niño

Wayne Caccamo

Hurricane Patricia – the strongest hurricane ever recorded in the western hemisphere – made landfall on the Pacific coast of Mexico on Friday, October 23rd, around 6:15 p.m. local time. The supply chain event impact, while still being assessed, clearly can be characterized as minor, especially when compared to relatively recent historic extreme weather events such as Hurricane’s Katrina and Sandy and other “acts of god’ such as the Japan Earthquake and Tsunami and the Thailand floods of 2011. It is nevertheless significant as it represents the first weather event with the potential to impact supply chains that can be definitively linked to the El Niño weather pattern.

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October 23, 2015

Snapshot: Recent Supply Chain Events in Life Sciences & Biotech Industries

Wayne Caccamo

We just prepared a report for Rx-360 leadership on potential supply chain disruption events over a recent three-and-one-half week period of time. The supply chain events were all detected and reported by our 24/7 EventWatch® global event monitoring and analysis service. I thought I would share some data we rolled up over this “snapshot” period of time. It sheds some light on the frequency and diversity of types of events that hit the life sciences and biotech global supply chains every day.

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September 29, 2015

The El Niño Supply Chain Impact Heats Up

Wayne Caccamo

Introduction: We recently published our El Niño Supply Chain Impact Analysis entitled El Niño: A Test of CPO Leadership and Your Supply Chain Resiliency Culture. Even our creative supply chain impact analysis experts didn’t anticipate forest fires and resulting air quality issues as one of the impacts to consider. The geographic scope of the impact (i.e. across country borders), is another surprising revelation. Here’s what’s going on in Southeast Asia right now and some takeaways for enterprises that have a manufacturing presence in the region.

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September 18, 2015

Hollywood’s Top 10 Supply Chain Disaster Movies

Wayne Caccamo

Here’s my list of the top supply chain events based on economic impact and general disruption to supply chain operations. Why am I doing this? Let’s table that for the moment and have some fun.

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September 07, 2015

Even Action Heroes Care About Supply Chain Risk Management

Wayne Caccamo

Why does Dolph Lundgren care about supply chain risk management? To find this question even remotely interesting, first, you would have to know who Dolph Lundgren is. According to his Wiki page, Dolph Lundgren (born Hans Lundgren; 3 November 1957) is a Swedish actor, director, and martial artist. Maybe a more interesting question is why did he change his name from Hans to Dolph? But, I digress. He belongs to a generation of film actors who epitomize the action hero stereotype, alongside Sylvester Stallone, Chuck Norris, Arnold Schwarzenegger, Bruce Willis, Steven Seagal, and Jean-Claude Van Damme. Lundgren's breakthrough came when he starred in Rocky IV in 1985 as the imposing Russian boxer Ivan Drago. Since then, he has starred in more than 40 movies, almost all of them in the action genre. It’s all coming back to you now, right? 

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September 02, 2015

General Motors Discusses Insurance Considerations for SCRM

Wayne Caccamo

Complexities are a reality in any industry and the automotive sector is no exception. The commonality of long lead times in this space will transition into shorter production cycles as shifting consumer expectations and the digital, connectivity era drive new automotive demand. Growth of the light vehicle assembly market and additional factory sites (67 of which will be located in Asia before 20201) are also factors many anticipate will challenge the automotive space. As a result of such changes, the automotive market may be open to new risks in their supply chain.

As various industries and companies are faced with their own unique challenges, it is important to weigh all the considerations when working to understand and address risk. Increasingly considering Contingent Business Interruption (CBI) insurance and additional supply chain risk management (SCRM) strategies are just some of the ways company leaders can focus on risk.

In this blog article, Brian Jenkins, Risk Financing Manager at General Motors, discusses GM’s strategy for CBI insurance to help manage supply chain risk.

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