Managing Supply Chain Risk

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3

Supply Chain Risk Management

within the Context of COSO’s

Enterprise Risk Management Framework

INTRODUCTION

Every rm is engaged in some type of risk management. However, few

rms conduct risk management using a systematic approach (Beasley,

Clune, & Hermanson 2005; Bowling & Rieger 2005). Enterprise risk man-

agement (ERM), though not widely adopted, provides a framework and

set of tools for managing risks holistically. ERM has been dened a vari-

ety of ways, but most denitions focus on holistically identifying, assess-

ing, and managing risks throughout an organization and its value chain

(COSO 2004).

Supply chain risk management (SCRM), o ...