We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC.
    • Podcast
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Dispatches
      • Empowering Your Performance Edge
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC.
    • Podcast
    • Blogs
      • Analytics & Big Data
      • Best Practices
      • Dispatches
      • Empowering Your Performance Edge
      • Logistics Problem Solving
      • One-Off Sound Off
      • Public Sector Logistics
      • Two Sides of the Logistics Coin
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2020
    • Upload Your Video
Home » one company's risk is another's opportunity
newsworthy

one company's risk is another's opportunity

June 1, 2009
DC Velocity Staff
No Comments

The ability to manage risk will become at least as important to supply chain success as identifying and exploiting growth opportunities—if not more so, said David Abney, chief operating officer of UPS Inc. Abney highlighted the growing importance of effective risk management during his keynote address at the annual conference of the Warehousing Education and Research Council (WERC), which was held in Atlanta this past April.

Abney said that risk management will "assume a more prominent role in customer expectations." In fact, by helping businesses plan for unforeseen events and manage them adroitly, logistics practitioners actually open up new pathways to growth for their companies.

To demonstrate that growth opportunity, Abney cited a 2008 study by UPS and the Economist Business Intelligence Unit of 350 senior executives who oversee global supply chains. Four in 10 respondents said the complexity of their extended networks had outpaced their ability to manage the risk embedded in them. The survey also found risk management had taken a back seat to rapid growth and low-cost sourcing during the boom years; only one in six respondents said their company was now prepared to deal with a serious risk to their supply chain.

Which companies will be best equipped to manage risk? According to Abney, it will be those shippers and third-party logistics service providers that have a decentralized decisionmaking style rather than a top-down approach to management. "The irony is that in a world in which supply chains get larger and more interconnected, decision making gets pushed down more and more to individuals," he told the group. "In that climate, a culture of empowered people who do the right thing for the greater purpose is a must."

Supply Chain Services
KEYWORDS Economist Intelligence Unit UPS Warehousing Education and Research Council (WERC)
  • Related Articles

    One company's risk is another's opportunity

    one company, one strategy

    one thing leads to another

Recent Articles by DC Velocity Staff

CMA/CGM to add LNG-powered ships to U.S. service

North American entries rank high in Toyota Material Handling design contest

IBM survey says digitalization trends will sweep trucking industry by 2030

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Relaxed regulations for drone parcel delivery to take effect in March

  • Gartner survey signals increased investment in resilience over the next two years

  • Increasing Urgency for Vaccine Supplies Drives Launch of New Vaccine Manufacturing Resources on Thomasnet.com

  • What Level of Automation is Right for Your Warehouse?

  • Old Dominion adds nine freight service centers to handle business growth

Now Playing on DCV-TV

20210226acd usa vs

MAX Mobile Workstation in action in leading 3PL improves efficiency in operations. Watch it now!

DCV-TV 4: Viewer Contributed
MAX Mobile Workstation, from ACD USA, Inc., is ideally suited for data collection and many tasks that workers handle throughout the Distribution Center, Manufacturing Plant, Cross Dock, and more.  This customer testimonial from Goldhofer shows the high quality industrial design and functionality of MAX, which is...

FEATURED WHITE PAPERS

  • Time to rethink your lift truck power

  • Warehouse Management System Project Toolkit

  • Solving Talent Management Challenges Now and In the Future

  • Shaping Up Last Mile Delivery to Surpass Customer Expectations

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2021. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing