Supply Chain & Supplier Risk Assessment
Category Supply Chain Risk and Supplier Risk Monitoring: Comprehensive solutions for supply chain/supplier mapping, risk evaluation, and mitigation planning to build resilience.
Navigate uncertainties and enhance operational resilience with our end-to-end supply chain risk and supplier risk/performance assessment offerings. From detailed Tier-n supplier mapping and comprehensive risk analysis to tailored supplier risk assessments, we provide actionable insights to safeguard your business. Our expertise ensures a deep understanding of your supply chain dynamics, enabling proactive identification and risk mitigation to build long-term resilience.
Our 360-degree framework includes thorough supply chain mapping, risk evaluation, and strategic mitigation planning. We enhance supply chain resilience and ensure business continuity by focusing on evaluating category-specific risks and implementing tailored mitigation strategies.
Our Coverage
We ensure supply chain stability by effectively navigating risks across the supply chain through our comprehensive risk assessment solution framework. We provide supply chain and supplier risk analysis at tier 1-2-3-4 level and beyond for end-to-end risk coverage.
Supply Chain Risk Assessment
We unlock deeper insights into your supply chain with our specialized Tier-n supply chain risk mapping and mitigation solutions. From analyzing value creation across tiers 2, 3, and 4 to identifying high-risk nodes and evaluating supply-demand dynamics, we deliver a comprehensive view of your supply chain structure. Our strategic approach benchmarks risks, develops actionable mitigation plans, and provides real-time alerts to ensure proactive management and enhanced supply chain resilience.
Supply Chain Mapping
Our supply chain mapping identifies high impact spend categories and analyzes value creation at each stage for your products. We map various value chain tiers, including supplier locations, ports, transportation methods, and overall supply chain structure.
Supply Chain Risk Analysis
Our risk analysis evaluates the risks associated with each node, such as supply-demand dynamics, geopolitical conditions, macroeconomic developments, cost fluctuations, and force majeure events. We benchmark these risks, develop risk scorecards, and identify high-risk nodes where disruption is likely.
Risk Management
Our risk management prioritizes risks by criticality and impact, develops mitigation plans with implementation roadmaps, and provides ongoing tracking with customized real-time alerts.
Periodic Monitoring and Control
We offer regular support on a quarterly, monthly, semi-annual, and annual basis to ensure continuous optimization, risk mitigation, and supply chain resilience.
Supplier Risk Assessment
We ensure supply chain continuity by identifying, assessing, and mitigating the risks associated with suppliers across the landscape, and protect your business from potential disruptions. Our supplier risk analysis includes risk assessment across multiple factors ensuring a thorough evaluation for strategic supplier management decision-making.
Business Stability and Operational Risk
We examine the stability of the supplier’s business operations, including management stability, market position, overall business health, operational continuity, contingency and resilience planning against operational disruptions to ensure long-term reliability.
Supply Chain Risk (Tier-2)
We assess risks related to raw material availability and prices, technological accessibility, and new capacity additions to understand potential supply chain vulnerabilities.
Innovation Risk
We assess the supplier’s ability to innovate, invest in new technology, and adapt to changing market conditions to ensure they can meet future demands and stay competitive.
Financial Risk
We evaluate suppliers’ financial stability through ratings by Dun & Bradstreet and similar agencies. We also assess recent financial liquidity issues, growth in annual revenue, net income, and other key financial metrics.
Reputational Risk
We analyze reputational risk through ratings and rankings from agencies like Forbes and Reputation Institute, along with an evaluation of CSR activities and other significant events affecting the suppliers’ reputation.
Sustainability Risk
We analyze the suppliers’ sustainability practices, including environmental impact, adherence to sustainability standards, and commitment to corporate social responsibility to align with your sustainability goals.
Macroeconomic and Regulatory Risk
We assess macroeconomic factors such as economic recession in the suppliers headquarter countries, global competitiveness index, trade, inflation, impact of changes in global power dynamics, regulatory landscapes, and compliance requirements to understand the broad economic impact.
Catastrophic Risk
We evaluate the risk of natural calamities such as cyclones, earthquakes, and volcanoes that could disrupt the suppliers’ operations and impact supply.
With our dual approach (supply chain – supplier risk assessment), we aid global category heads with navigating complexities and safeguarding their supply chains.
Solution Framework
Our end-to-end supply chain risk and supplier risk/performance management framework enables businesses to navigate tier-n supplier risks, assess vulnerabilities, and implement mitigation strategies for enhanced resilience and continuity.
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Aranca Advantage
Procurement organizations have reaped sustained value benefits using our integrated supply chain risk and supplier risk intelligence solutions:
Supply Chain Risk Visibility: +100%
Aranca aids category leaders and buyers with complete foresight on sub-tier supply chain and supplier risk across sourcing categories, helping build strategic resilience plans.
Risk Mitigation Compliance: >90% adherence
Aranca empowers procurement leaders with actionable strategies to mitigate supply chain and supplier risk, ensuring robust compliance and improved supply chain resilience.
Improved Supplier Relationship Index: >8/10
Aranca helps organizations with complete visibility on supplier performance and risk precursors across business, technical, financial, and other supply chain metrics, helping compare actual performance vs. benchmarks and developing action plans for necessary compliance.
Seeking short- and long-term supply chain risk visibility and supplier performance is crucial for category heads to navigate supply chain disruptions and build long-term resilience. From one-time risk intelligence exercises to regular supply chain risk updates, our comprehensive solution aids with well-timed strategic decision-making for your target categories.
Case Studies
A wind turbine manufacturer engaged with Aranca to assess supply chain risks for multiple wind turbine blade components. With our comprehensive risk assessment solution encompassing sourcing challenges across the value chain, supply disruptions, quality issues, geopolitical impact analysis, etc. client sought 100% visibility on high-risk categories alongside potential risk mitigation strategies.
A paints and coatings multinational leveraged Aranca to mitigate supply chain risks concerning synthetic oils and enhanced sustainability by analyzing six industrial bio-oil alternatives. Our in-depth analysis, covering supply-demand dynamics, feedstock, applications, and pricing trends, enabled the client to achieve end-to-end risk preparedness along with risk mitigation strategies incorporating eco-friendly initiatives.
A medical device company evaluated over 20 strategic suppliers across categories such as marketing, logistics, telecom, and IT. Through in-depth research, Aranca identified opportunities for risk diversification, reducing dependency. These insights enhanced supply chain resilience and achieved a twofold increase in operational efficiency across multiple business functions.
Recent Insights
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Client Experiences
Speed, reaction, and responsiveness. The team really put a lot of effort into providing a fast result, which was key for having a successful project. We appreciate that!
- CXO from a leading FMCG companyExcellent Service! Will definitely consider for next project.
- Leading Swedish multinational pharmaceutical companyGreat interaction and good promising results. Very professional team.
- Leading European industrial products manufacturing companyHardwork and commitment. Active and positive response to feedback. We have been playing a lot with the tool and are extremely happy with the results.
- A global consumer-goods MNCDetailed analysis, deep due-diligence and as always, fast answers and very responsive to feedback. Always a pleasure working with Procurement Team.
- Sr Manager Strategy and Insights, Global CPG GiantWhat tier levels does your supply chain risk assessment cover?
We offer supply chain risk assessment across multiple tiers throughout your value chain covering tier 1-2-3-4 and beyond as per the category or complexity in supply chain, providing insights into risks at each level to ensure comprehensive risk management and mitigation strategies.
Are there any geographic capabilities or limitations for countries like Japan, Korea, China?
Absolutely not! Our regional capabilities extend across developed and emerging regions/countries, including Northeast Asia, Southeast Asia, LATAM, MENA, among others. We capture region-specific nuances, regulatory environments, and other supply chain dynamics to provide risk assessments tailored to regional contexts.
Do you support supply chain risk assessment for niche categories?
Certainly! With our 360-category risk intelligence framework, we have the expertise to assess risk for your most challenging categories, right from complex materials, regulated commodities, intricate parts, to new-age/sustainable alternatives.
How often do you analyze supply chain or supplier risks?
We conduct risk analysis on a periodic basis. We typically track risks on a quarterly, semi-annual, or annual basis, as per the client’s request, to ensure regular assessments and responsiveness in an evolving market.
What dimensions do you consider for supplier risk assessment?
Our supplier risk assessment is multidimensional, evaluating internal and external risk factors, including business stability, operational continuity, supply chain risk, macroeconomic and industry risks, financial performance and risk, regulatory risks, innovation and sustainability risks, reputational and catastrophic risk.
Can you analyze the risk of private or small-size supplier companies?
Absolutely. Our tailored risk assessment expertise spans across private and small-size companies to global or integrated and diversified players, providing insights for informed decision-making and risk management.
Do you capture financial analysis for risk analysis, and how do you do that?
Our risk analysis includes comprehensive financial evaluation across top-line, bottom-line, and cost parameters, alongside ratio analysis covering profitability, liquidity, efficiency/turnover, leverage, and solvency. Our in-depth assessment covers historical trends, current movements, and future targets, and compares them with industry-leading benchmarks to delineate relative risk levels.
Can you monitor risk on a regular basis for our entire supply base?
Absolutely. We assess risk across client’s global supplier landscape categorizing them as low, moderate, and high. We also conduct periodic monitoring (quarterly, semi-annual, or annual basis as per the client’s request), and facilitate the transfer of best practices across low- to high-risk suppliers to ensure compliance.
Can Aranca demonstrate its supply chain and supplier risk assessment capabilities?
Certainly. Schedule a complimentary consultation via our inquiry form, and we will share case studies, detailed capabilities, and address all your questions.
How do we request a proposal for supply chain/ supplier risk assessment?
Email us at inquiry@aranca.com with your requirements and preferred time for a scoping call. Post-discussion, we will deliver a detailed proposal tailored to your needs.
Recent Insights
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Client Experiences
Speed, reaction, and responsiveness. The team really put a lot of effort into providing a fast result, which was key for having a successful project. We appreciate that!
- CXO from a leading FMCG companyExcellent Service! Will definitely consider for next project.
- Leading Swedish multinational pharmaceutical companyGreat interaction and good promising results. Very professional team.
- Leading European industrial products manufacturing companyHardwork and commitment. Active and positive response to feedback. We have been playing a lot with the tool and are extremely happy with the results.
- A global consumer-goods MNCDetailed analysis, deep due-diligence and as always, fast answers and very responsive to feedback. Always a pleasure working with Procurement Team.
- Sr Manager Strategy and Insights, Global CPG GiantDecide Fearlessly
From startups to the Fortune 500, private equity and global financial firms, Aranca is the trusted research and advisory partner for over 2000 companies
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Decide Fearlessly
From startups to the Fortune 500, private equity and global financial firms, Aranca is the trusted research and advisory partner for over 2000 companies
Aranca is a global research analytics and advisory firm with over 20 years of experience in helping organizations take strategic business and investment decisions fearlessly and with utmost conviction.
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