Supply Chain Risk Management

Risk Measurement • 265

• A variety of existing and new measures are emerging to help manage

supply chain risk, including value- at- risk, time- to- recovery, and risk

exposure indexes.

• Various KPIs will emerge that support a company’s risk management

eorts, including forecast accuracy, inventory accuracy, the perfect

order, concept- to- customer cycle time, order- to- cash cycle time, and

return on assets. An underlying commonality linking these mea-

sures is that they are superordinate, which means they are higher in

class, rank, or status compared with other measures.

ENDNOTES

1. Bialik, Carl. “Will is Bridge Fall? It’s Hard to Say.” e Wall Street Journal, June1–2,

2013: A2.

2. Sull, D., and K. Eisenhardt. “Simple Rules for a Comp ...