LOGISTIC S & SUPPLY CHAIN MANAGEMENT
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This approach is akin to the idea of supplier development, which has been quite
widely adopted in the automotive sector. Going beyond this there is an opportunity
to draw from the experience of companies which have insisted that their suppli-
ers meet rigorous quality standards in terms of the products that they supply. The
same practice could be applied in supply chain risk management by requiring
suppliers to monitor and manage their supply chain vulnerabilities. In this way a
‘snowball effect’ might be achieved, with each supplier working with their first tier
suppliers to implement supply chain risk management procedures.
Target Stores, the North American retailer, requires its