Supply Chain Risk Management

Using Probabilistic Models to Understand Risk • 195

polymer materials and the development of innovative product solutions

for its customers. BMS maintains more than 30 production sites around

the globe.

BMS was encountering unacceptable levels of aged and slow- moving

inventory across many of its business lines, and its compounding busi-

ness wanted to signicantly reduce its response times to customers in

order to gain market share in regions they had never sold to in the past.

Several hypotheses were established to better understand how the com-

pany’s supply chains would react if these strategies were implemented.

BMS established a Six Sigma team of black belts and operational analysts

to quantify these hypotheses. e team developed a pro