Exposing Supply Chain Vulnerabilities - Johnson Stephens Consulting

Sandy Stephens, Managing Principal of Johnson Stephens Consulting (JSC), provides insight into the importance of focusing on the risks when exposing supply chain vulnerabilities in March/April 2019 WERCSheet.

Excerpts from the full article as published in March/April 2019 WERCSheet – Exposing Supply Chain Vulnerabilities.

“Supply chain professionals are quick to recog­nize the physical threats and prepare for them," shares Sandy Stephens, managing principal, Johnson Stephens Consulting, Inc., Atlanta, (www.john­sonstephens.com). Multiple facilities and backup data centers, for example, will mitigate the risks of weather and natural disasters or major acci­dents. However, he acknowledges, “Still many U.S. companies rely on a single DC for cus­tomer order fulfillment and retail replenishment," and advises, “Supply chain network optimization needs more focus on supply chain risk management to quantify the potentially insurmountable costs and odds of disaster in addition to logistics and operating expenses." 

According to Stephens, “Supply disrup­tions often can be recognized and averted by advanced planning and alternative sourc­ing, however, as labor issues at U.S. ports have taught us, transportation disruptions may be difficult to overcome." Using multi­ple ports may not be feasible for many importers whose networks are built on the foundation of the Inland Empire, he notes. “Multiple ports will become a more important piece of supply chain risk man­agement as the impact of Panamax ships couples with the customer demands in our e-commerce society forcing shippers to locate closer to customers in multiple loca­tions," Stephens forecasts.1

¹WERCSheet, “Exposing Supply Chain Vulnerabilities” by Joseph Mazel and Sara Pearson Specter (Oak Brook, IL, March/April 2019)  

WERC members can see more of this article at WERC

WERC

WERCSheet is published bi-monthly by the Warehousing Education and Research Council. WERC is the only professional organization focused on logistics management and its role in the supply chain. Through membership in WERC, seasoned practitioners and those new to the industry master best practices and establish valuable professional relationships. Since being founded in 1977, WERC has maintained a strategic vision to continuously offer resources that help distribution practitioners and suppliers stay on top in our dynamic, variable field. These include national, regional, local and online educational events; performance metrics for benchmarking; practical research; expert insights; and multiple opportunities for peer-to-peer knowledge exchange.  

About Johnson Stephens Consulting

Johnson Stephens Consulting is a supply chain operations consultancy that provides clients with cost-effective, service-focused solutions. Opportunities include logistics network optimization, facility planning & design, WMS, TMS & LMS services labor management engineering, LEAN distribution, and operations excellence. Founded in 2003, JSC professionals have completed over 400 projects and served over 200 different retailers, wholesalers, e-commerce/direct to consumer companies, 3PLs, and consumer products distributors.