Open Ratings figures Out Purchasing & Supply Chain Integration
The recent study of AMR Research addressed the powerful potential of integrating purchasing and supply chain which helps to reduce the financial impact of disruption in the supply chain. It also talked about Open Ratings , a D&B company, for providing a new approach to risk management featuring a supply risk management solution.
It is vital for any business to identify potential risk factors. Open Ratings’ predictive alerts and supplier performance monitoring solutions helps to conquer that angle. It combines D&B’s descriptive financial and performance information on more than 100 million global businesses where manufacturers come to know about potential risks in their supplier base. In addition, the supply risk solution combines manufacturers’ own information about service, quality, procurement and third-party data - such as EPA and OSHA violations - with the aggregated experiences of Open Ratings’ customers, enabling companies to develop more comprehensive and competitive corporate supply risk strategies.
If supply assurance ranks among the top operational responsibilities then having this parameter under safe boundaries undoubtedly prove beneficial for manufacturers. But many in the industry feel it is impossible to reduce risk factors involved completely e.g. instability within supply chain, criticality vis-à-vis products and services, etc. Hence, focus approach can be taken as a preventive measure though not 100%.
Another thing that contributes immensely to rising risk factor is change of trends and the complexity involved in adapting them in a timely manner. With increased inter-linkage between the purchase and supply part Open Ratings is expecting to reduce significantly the likelihood of a disruption caused by supplier instability.
Subscribe to the comments for this post