
144 Operational Risk and Resilience
often means that organizations sometimes spend far too much
capital on distribution activities. In this case, on the upstream
side, flowers were brought in by air from America, but the
organization did not have an adequate idea of their spending on
carriage, even though it was a multi-million pound operation.
Again, one of the problems was a lack of co-ordination between
individuals in the group.
One solution involved ‘route optimization’, involving an analy-
sis of the supply chain focusing on a range of factors such as fuel
consumption, vehicle times, the hours that can be driven, and
human resource issues. Another ...