Apparel Supply Chain Threats: Invest in Resiliency

apparel supply chain threatsThe Bangkok Post made a good point about the effects of political unrest recently in the wake of tragic bombings in southern Thailand last week:

These appalling events serve as a harsh reminder that radicals intent on harming innocent civilians can strike anywhere, it also are a reminder that terrorism both domestically and globally is a real and significant threat to our supply chains -- and one that few companies, emergency services and local authorities are ever fully prepared for. Beyond the initial horror of such events, the destruction of local businesses further harms communities affected by violence by making it difficult for them to recover quickly. Unfortunately, the global nature of supply chains these days makes supply chain disruptions increasingly likely these days, posing significant challenges to effective apparel supply chain management.

The U.S. government agrees. According to the Office of the National Counterintelligence Executive:

Today, companies have less control over their supply chains. Identifying compromises when they occur is exceedingly difficult, unearthing the culprits is a long-shot, and true attribution pivots on a scale of the “rare” to the “unheard-of.” As a result, not only do U.S. adversaries use access to the supply chain to pursue technologies and gain access to sensitive systems, foreign manufacturers can also, simply and effectively, insert counterfeit parts into products destined for the United States and degrade the performance of U.S. systems.

This is poised to create many challenges for the U.S. government – especially in the intelligence and defense communities. As more and more links in the supply chain globalize, the reliable suppliers and “trusted” manufacturers will become increasingly scarce.

In other words, it’s a wild, wild world out there, and you really don’t want to go at apparel logistics and supply chain management out there alone.

Here at The Apparel Logistics Group, our apparel 3PL logistics services can help you understand which potential labor markets are ideal for sustained, robust outsourcing success. And we can help you identify the regions in which the risks of disruption significantly outweigh the potential for rewards.

But if we're being realistic -- as mentioned in the Bangkok Post article -- it's just a fact of life that these sorts of incidents can happen just about anywhere. Add in the possibility of any of a myriad other sorts of severe supply chain disruption (say, a massive tornado, hurricane or earthquake, or perhaps more silent and subtle strike such as a global market shift or currency spike), and you quickly realize that there's simply no way to be 100 percent sure that a supply chain disruption won't strike your company.

So the key then is supply chain resiliency. If a tropical cyclone approaches, you need the ability to adjust quickly and resume operations in a new location. If some sort of violent even strikes out of the blue on some mundane Tuesday afternoon, you need to be able to recover and relaunch as quickly as possible. Your customers (and the community's you've hired around the world to manufacture for them) are depending on you.

Posted: 4/20/2012 12:01:14 PM by Global Administrator | with 0 comments

Share this:Add to Delicious Add to Digg Add to StumbleUpon Add to Twitter Add to Reddit Add to Facebook
Trackback URL:

Blog post currently doesn't have any comments.
Leave comment Subscribe

 Security code