In an ideal world, all suppliers and manufacturers would operate under universal GS1 standards. Unfortunately, as we know all too well, that’s not the case, leaving the door open for counterfeiters to sneak into the supply chain and compromise the entire system.

Standardization would solve a lot of other issues like preventing the spread of contaminated food products and better preparing industries for weakened supplies because of natural disasters, but for now, the best businesses that rely on the supply chain can do is establish their own risk management protocols.

In an attempt to help out those businesses, the World Economic Forum (WEF) recently released an industry agenda called “New Models for Addressing Supply Chain and Transport Risk.” Its data showed that 93 percent of the respondent businesses said they have made improving their supply chain risk management a greater priority in the last five years.

Based on their research, WEF provided these recommendations for the government and businesses:

♦ “Improve international and inter-agency compatibility of resilience standards and programs
♦ Explicitly assess supply chain and transport risks as part of procurement, management and governance processes
♦ Develop trusted networks of suppliers, customers, competitors and government focused on risk management
♦ Improve network risk visibility, through two-way information sharing and collaborative development of standardized risk assessment and quantification tools
♦ Improve pre- and post-event communication on systemic disruptions and balance security and facilitation to bring a more balanced public and private sector discussion.”

Oddly enough, WEF released these recommendations and the report on January 25, the same day that the National Strategy for Global Supply Chain Security was released by the Obama administration, which we have previously discussed. While WEF’s research might have been overlooked by America’s call for better overall security that day, it’s important that businesses at least consider their suggestions and devise their own risk management plan.