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More than 90 per cent of organizations surveyed by the World Economic Forum in 2012 indicated that supply chain risk management has become a greater priority in the last five years. This has been driven by a number of interrelated risk drivers that have emerged and have increased the level of risk exposure for organizations. Academic sources suggest that these include: lack of ownership; inertia and chaos; human errors; financial strength of customers enthused from a focus on efficiency rather than effectiveness; the globalization of supply chains; the rise of the internet; focused factories and centralized distribution; and the reduction of the supplier base.

These risk drivers affect s...


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