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TUHH

Qries

How to manage risks?

Based on the results of the first two SCRM phases, management measures for supply chain risks can be developed. Based on the risk strategy, it is decided which supply chain risks trigger an immediate need for action (Denk et al. 2008, p. 127). Risks that are above or close to the defined tolerance range or for which an additional increase is expected in the foreseeable future require appropriate action.

How to control and report risks?

In a final step, the risks must be reviewed with regard to their efficiency and effectiveness. Various methods are suitable for this purpose: In addition to a balanced scorecard, which is supplemented by a risk dimension, the risk indicator method can be cited alongside workshops and benchmarking procedures (Romeike 2004c, p. 185; Bergener 2006, p. 268; Schorcht 2004, p. 187f.).

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