Proactively identify, monitor and mitigate third-party supplier risks to ensure business continuity and meet compliance and sustainability goals
Supply Chain Management & Risk Intelligence at a glance:
- Go beyond just financial risk indicators to assess operational, legal and ethical, human and environmental risks using well-defined risk metrics
- Flexible solution configuration to choose one or more risk types for coverage and alter their weights to get risk insights as per your business needs and budget
- Ongoing risk monitoring using our Smart Risk platform to identify and alert you of threats and opportunities as early as possible
- Custom insight dashboards and deep-dive assessment reports tailored to meet your business, compliance and sustainability objectives
Safeguard business continuity, product quality and price competitiveness
For businesses with a large supplier base and complex supply chains, managing third-party supplier risk is a major challenge. According to a Deloitte survey, 50% of procurement teams have only low to moderate visibility into their tier 1 suppliers, and 85% of businesses do not have the right capability and capacity to manage third-party risks.
If not monitored and managed, supply risks can severely impact:
Business continuity and lead to stalled supply of key products and services, manufacturing delays and production shutdowns.
Quality and compliance when suppliers fail to meet your required standards – leading to compliance breaches and reputational damage.
Price competitiveness by driving costs of key commodities up and eroding profit margins right across your product portfolio.
Savings opportunities if favourable developments are missed and not capitalised upon.
We do more than just risk identification…
Supplier Risk Intelligence from The Smart Cube is an end-to-end risk monitoring and management solution. We leverage AI+HI to track your suppliers' risks on an ongoing basis and deliver custom analysis – all via Smart Risk, our proprietary cloud-based platform – helping you take the right actions at the right time. With Supplier Risk Intelligence from The Smart Cube, you get:
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Continuous monitoring and insights
We leverage advanced analytics and machine learning models to provide ongoing monitoring of leading risk indicators across your supply base, and advance warning on risks before they materialise.
Custom deep-dive risk assessments
Triggered by high risk scores, predefined supplier risk events, or geopolitical, macroeconomic and industry factors.
Custom intelligence for risk mitigation
Proactively mitigate risks with intelligence to support alternative supplier/sourcing hub identification, accelerated sourcing, contract negotiation, supplier collaboration and more.
Actionable recommendations
Our specialist team provides recommendations to help your procurement team respond quickly and effectively to risk exposures in the right way.
Executive briefings
Tailored insights to inform executive and supplier governance and program reviews.
How your business benefits
With Supplier Risk Intelligence from The Smart Cube, you can:
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Get a holistic view of risks covering financial, operational, legal and ethical, and human and environmental risk metrics
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Ensure business continuity by responding to risks before they impact your core operations.
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Safeguard price competitiveness by responding before rising supply costs start impacting your bottom line.
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Proactively mitigate risks using recommendations and custom intelligence to determine the best actions.
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Meet compliance and sustainability goals by assessing which suppliers can truly meet your standards.
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Avoid cost overruns with early visibility into risks and intelligence to mitigate them.
Our working process
However complex your supplier portfolio, we have the specialist skills, subscribed databases, proprietary assets, third party intelligence and technology to help you implement a tailored Supplier Risk Intelligence solution that makes identifying and mitigating risks simple and yet effective. Here’s how our process works:
Why choose The Smart Cube?
When you choose Supplier Risk Intelligence from The Smart Cube, you always get:
Supplier Risk Intelligence in action
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Global top 3 snack food company
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European top 20 pharmaceutical company
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Global top 10 aerospace & defence company
Global F&B giant deploys supplier risk portal
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THE CHALLENGE
A global F&B company was concerned about potential supply chain risks due to tariff and trade tensions between the US and China, and wanted to monitor ongoing risks associated with its key suppliers (of ingredients, logistics and packaging categories) and major sourcing hubs.
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OUR APPROACH
The Smart Cube deployed a proprietary risk monitoring portal within a week to monitor strategic, operational, financial, compliance and country risks for key suppliers in near real time. The category manager was automatically alerted via email regarding the risk events (as a part of the early warning feature of our portal).
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VALUE DELIVERED
With early warning of potential risks, the client was able to engage the key suppliers and made changes to its supply chain to reduce its risk exposure.
Supplier Risk Intelligence helps large pharma monitor and manage supplier risk worth $220 million
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THE CHALLENCE
The client wanted to improve its understanding of business and operational risks associated with its suppliers in CRO, R&D and APIs in order to to devise better risk mitigation strategies.
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OUR APPROACH
The Smart Cube conducted detailed financial health assessments and supplier risk assessments for 200 critical suppliers. We monitored suppliers through periodic risk monitoring reports for the top 30 suppliers and the other 170 suppliers on quarterly and half yearly basis, respectively.
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VALUE DELIVERED
The periodic monitoring helped the client proactively monitor performance and mitigate risks of critical suppliers worth $220 million for the 3 categories effectively.
Critical supplier assessment delivered better visibility on 20% of total spend for global A&D firm
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THE CHALLENGE
The client’s supplier relationship team wanted to assess capabilities, performance, operational risks and customer dependence of key direct strategic suppliers to better manage relationships and develop stronger partnerships.
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OUR APPROACH
We completed an exhaustive assessment covering revenues by programmes, revenue dependence on customers (including peers), products supplied to peers, investments focus, quality and other issues, sourcing from low-cost countries, and technological investments for the suppliers (including China-based suppliers where the team did not have any visibility). The insights were used to suggest change in bargaining power, strategic direction and risks.
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VALUE DELIVERED
In-depth assessment of critical suppliers helped the client gain extensive visibility on critical suppliers representing 20% of its total spend and improve partnerships for future programmes.
