This is how to stay ahead of the game, according to CIPS global futurist Dr Graham Norris.
- Revisit supply chain maps and add in a layer on weather risks
In 2011, a lot of companies discovered the hard way their supply chains extended to Thailand and Japan when those places were hit hard by natural disasters. "I didn't know they were in our supply chains" isn't a useful response. Conveniently, the same mechanisms used to monitor slavery and environmental impact can be adapted to identify risks related to El Niño. - Keep abreast of developments, especially the chokepoints
There is a lot of information available, so the hard part is not overloading yourself so you can focus on what matters. If you've done your homework mapping your supply chain, you'll already have a good grip on the risks you're facing. The table below offers examples of the types of information you can monitor to give you the earliest signals possible of trouble. - Strengthen your supplier relationships
The Persian Gulf conflict demonstrated to many companies the value of strong supplier relationships. When disaster strikes, a contract won't do you any good if your supplier is struggling more than you are. Start having the conversations now that can give you the best visibility into the problems they might be facing and how you can work through them. - Capitalise on your strategic vantage point
Through supply chains, you can literally see the future shifts that will keep your organisation ahead of the game. For example, your supply chain might not be exposed to agricultural commodities, but if you detect surging commodity prices that could impact the wallets of your price-sensitive customers, that's a signal worth flagging to the organisation as a whole. Now's the time to speak up.
