Mitigating your supply chain risk during network design disruptions: 5 ways to handle the supply chain risk
1)INCREASE CAPACITY : Focus on low cost decentralisedGet capacity for predictable demand
2)GET REDUNDANT SUPPLIERS :Get redundant supplies for high volume demand and low redundant supply for low volume demand
3) INCREASE RESPONSIVE : Give preference to cost over responsiveness for a commodity item which has a long life cycle.In contrast increase responsiveness over cost for shorter life cycle products
4)INCREASE INVENTORY: Decentralize inventory of predictable lower valued goods and decentralize unpredictable and higher valued goods or products
5)INCREASE FLEXIBILITY : Favor cost over flexibility for high volume products. In contrast, favor flexibility over cost for low volume products
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