Disruption Risks Affecting Global Supply Chains

The globalization of supply chains has become the core mechanism for generating economic growth throughout the world. Supply chains are currently going through a series of transformations (outsourcing production, relocating activities in emerging countries etc.) which drive more efficient operations and cost savings, but also bring a percentage of risk in their day-to-day activities. These risks are the triggers of unexpected events that negatively affect global supply chains' performances. They can be either of endogenous nature (from inside the supply chain), or exogenous risks (from outside the supply chains). When exogenous risks occur they affect multiple operations, organizations and regions and can be even more dangerous when the supply chain structures are not prepared to cope with them and their negative effects. And when we talk about supply chain organizations spread all over the world every disruption (external) risk propagates and amplifies while advancing though the risk sensitive supply chain structures. In this research paper I discuss some of the actual/real external risks that supply chains are struggling with and propose some approaches for mitigation and building resilient structures.