The Importance of Assessing Supplier Financial Stability


and the consequences if you don’t


Avetta White Paper

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Suppliers are the lifeblood of many organizations. Regardless of what they are providing – a product, a service, or a combination of the two – companies depend on contractors and suppliers fulfilling their contracts.

While the symbiotic relationship between companies and their suppliers drives operations, that mutual reliance also introduces business risk. In a MIT-PwC survey of 209 companies with a global footprint, more than 60% noted that disruptions within their supply chains had led to a 3% or more drop in the respondents’ financial performance.

This white paper will discuss:

  • Why assessing supplier financial stability is important
  • The consequences of failing to review suppliers
  • Tips to expose and evaluate financial stability