Managing Supply Chain Risk

Introduction • 21

Factor 5—Conclusions and Recommendations

Technology has emerged as a key enabler to realize data and information

integration in the supply chain. Making use of technology, in general,

results in reducing disruption risks in the supply chain. Current informa-

tion technologies allow for improved integration of information ows and

supply chain visibility among all participants. Shared information reduces

uncertainty and reduces the need for non- value added cost drivers such as

safety stocks. As a result, the system becomes more responsive and even-

tually could become demand driven rather than forecast driven. A few

select sa