EyeOn Process Roundtable, Risk Management in S&OP
Growing supply chain complexities mean that companies become ever more exposed to supply chain risks. How to take market- & company risks along in the S&OP process?
In 2005 Hurricane Katrina hit the US Gulf Coast. In the aftermath of the hurricane it became clear that it had shut down 7% of the world’s ethylene production, 5% of propylene, 9% of benzene and xylene, and 12% of paraxylene. Many companies suddenly faced supply issues, including escalating prices and major shortages. (Source ICIS).
Time and time again these examples show that most companies are not well prepared to manage risk. A main reason for this is that humans by default are ill-equipped for assessing risks and risk-related probabilities. This can be overcome however by installing decent risk management procedures. Tomorrow’s successful companies will be the ones that excel at proactive risk management. But how to build risk management into your operational process?
On May 14, EyeOn facilitated a next network meeting for planning & forecasting professionals in the process industry. During this day they exchanged experiences and best practices for Risk Management in S&OP, because you can better be prepared when the unexpected happens.
Read more about this succesfull network meeting.