In order for any organisation to meet its goals, it has to seriously concentrate on three things: Governance, Risk Management, and Compliance, known collectively as GRC. These three areas have quite a bit of overlap, which is why they are often treated as three parts of a single area.
There is often some confusion about the difference between the traditional supply chain and what has come to be known as a “value chain”. In reality, the two usually overlap and can even be the same “chain”. The difference lies in the high-level view of the process, but it can be argued in most cases – if not all – that a supply chain that isn’t also a value chain is a sign of poor business practices.
Today we look at creating a value chain for business, and how effective auditing is just as important as ownership for each link in the chain.
The global online economy is a huge game changer for both consumers and businesses, but not always in a good way. When auditing is performed well throughout the supply chain, everyone wins. When there’s a breakdown in this process, however, losers abound.
A lack of proper compliance standards and systems is always a problem for any business. That’s no great secret. Non-compliant players in a supply chain can cause lowered quality in products, confusion and/or mistrust from the consumer base, delays in inventory deliveries, and more.
While all of these are important and major issues that can – and do – negatively affect business results, none of them elicit the same level of concern and need for immediate action that another three-word issue can: food safety concerns.
This article warns about the business and health dangers than can arise from poor supply chain compliance standards.