Deloitte completed their 2014 Global Chief Procurement Officers (CPO) study, which included CPO feedback on top risk by industry.
|Industry||Reported Top Supply Risk|
|Business and Professional Services||Reputational and Service Delivery|
|Consumer Business||Commodity Price Volatility|
|Energy and Resources||Service Delivery|
|Financial Services||Regulatory and Reputational|
|Government and Public Sector||Service Delivery|
|Health and Life Sciences||Reputational|
|Manufacturing||Commodity Price Volatility|
|Real Estate||Service Delivery|
|Technology, Media and Communications||Service Delivery|
The survey results show just half of CPOs play an active role in the wider risk management process, and their level of investment in related technologies and processes remains low. Unsurprisingly, the primary approach to risk management is to address risk during the supplier pre-qualification and onboarding phase, with some 77 percent using this approach. Less than 20 percent use predictive analytics to assess potential supply-side risks, suggesting there is room for greater proactivity to mitigate risk events.
To download a copy of the complete study, click here.