Our  hearts go out to the people of Japan as an unthinkable situation continues to  unfold. The stark reality, however, is that businesses all over the globe must  assess the impact of the disaster to their business and supply chains. As  globalization has made our world smaller, the reverberations of such events are  that much more impactful. As an example, numerous  media outlets have recently reported that many  shipping lines have halted lanes to and from Japan, and those that do get  through now require additional screening to dock in  port.

 

Analyzing the situation to assess how it will, or already has,  impacted your supply chain is always a good place to start. Can you quickly  assess:

  • Your  spend with suppliers in the affected region, not only in Japan but regionally  within the country?
  • The relative economic  health of your suppliers who may be more or less likely to emerge from such  events?
  • The  M&A impact of suppliers not necessarily located in Japan, but owned by  Japanese companies or visa-versa?
  • Price indices of  commodities expected to be affected?
  • ...and maybe most importantly, how can you as a company continue  to invest in Japan intelligently?

 

The power of community  is nowhere more prevalant than in real-time situations like these. We look  forward to your experiences, thoughts, ideas, and feedback here on Exchange, and continue making contributions  for relief efforts to the Red Cross.

 

Finally, we'll be discussing this topic on the April member call for the Strategic  Sourcing & Procurement LinkedIn group. It's tentatively slated for Thursday  April 28th at noon Eastern Time. Join  the Group to get the details.