Risk Management

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Overview

For many organizations, globalization, outsourcing, and extended supply chains are effective strategies to increase efficiency and achieve economies of scale. However, these benefits are accompanied by significantly increased risk to quality, safety, business continuity, reputation, and more. Commitment to and practice of effective supply-chain risk management (SCRM) is now essential to running a successful and sustainable business.

Avetta helps the world’s leading organizations identify and manage risk in their supply chains through:


•  Supplier Prequalification
•  Document Management
•  Supplier Auditing
•  Supplier Employee-Level Qualification and Training
•  Insurance Verification
•  Reporting and Analytics

Our cloud-based technology and expert insight help mitigate risk and enable sustainable business growth.

Identifying Risk in the Supply Chain

Organizations are always at risk for losses through cost volatility, supply disruption, non-compliance fines, and safety incidents that cause damage to their brand and reputation. Knowing what’s at stake is the first step to understanding, measuring, and managing risk in your supply chain.

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Safety


Safety

Among the highest priorities for companies across all industries, safety concerns are often magnified in chemical, oil and gas, construction, and manufacturing. Workplace accidents can jeopardize contracts, result in fines, and cause significant damage to a company’s reputation.

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Quality Control

Do your vendors and suppliers meet your standards for quality and consistency? Customers are quick to react when they perceive a drop in quality; and, even the smallest product issues can be difficult to recover from.

Quality Control
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Financial


Financial

Any disruption to the supply chain due to financial challenges has the potential to impact business continuity and, ultimately, your bottom line. Taking a proactive approach to understanding supplier financial strength can prevent disruption and unnecessary costs.

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Compliance

Are your contractors insured? Do they have the right type of insurance, the right limits? Knowing this information will help you to manage insurance risk and avoid potentially costly litigation.

Compliance
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Reputation


Reputation

Damage to a company’s brand or reputation can be long lasting, extremely costly, and sometimes unrecoverable. Committing to a supply chain risk management strategy can not only prevent brand damage but can also serve to foster new partnerships with organizations that share like values.

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Sustainability

It’s no longer enough to assess risk within the traditional construct of a supply chain. Organizations must look beyond and consider environmental impacts and corporate social responsibility, including adherence to labor laws and sustainable practices.

Sustainability

Mitigating Risk in the Supply Chain

Mitigating risk in the supply chain starts with the procurement process and is dependent on having an effective methodology for evaluation. When managing contractor and supplier relationships, loss control or risk mitigation is most effective when you can Communicate, Evaluate, Select, and Monitor:

Communicate

Communicate expectations. Before you award the contract, ensure that you detail safety expectations in your contract with the supplier or contractor in mind.

Evaluate

Evaluate progress. Use objective criteria and both leading and lagging indicators, like Experience Modification Rate (EMR) and Total Recordable Incident Rates (TRIR) to determine how the contractor’s performance is measuring up to stated expectations.

Select

Select contractors based on qualification standards. Once you have established the criteria against which contractors will be evaluated, be clear that all elements of qualification will be weighted and that price is not the only factor on which they will be judged.

Monitor

Monitor contractors using a real-time database. Enforce company-wide standards by keeping a database of all contractors in a regularly updated format.

EVALUATE SELECT MONITOR COMMUNICATE

Supply Chain Risk Management Software

Our technology can help you to manage risk with:

01
PREQUALIFICATION & DOCUMENT MANAGEMENT
 

Instant access to prequalification information for your entire supply chain.

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02
SUPPLIER AUDITING
 
 

Minimize supply chain risk with in-depth supplier audits for safety, quality and sustainability.

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03
SUPPLIER EMPLOYEE QUALIFICATION & TRAINING
 

Take control of your supply chain with employee-level qualification and training.

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04
INSURANCE POLICY MANAGEMENT
 

Simplify your management of insurance risk with a centralized repository for all supplier insurance certificates.

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05
REPORTING & BUSINESS INTELLIGENCE
 

Get complete visibility of your supply chain and the answers you need to make better business decisions.

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"Avetta gives us proactive risk management. We're able to leverage the expertise and experience that Avetta provides based on years of tracking and evaluating contractors."

David Matheny
Corporate Safety,
Huntsman Corporation


Pricing - Request A Quote

Pricing

Avetta solutions are tailored to meet the unique needs of our customers. Our pricing model considers both the number of suppliers under management and their associated risk profiles. To request a customized quote, please help us to understand your requirements by answering the questions in the form below.

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Risk Assessment

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