Accountability in the supply chain requires full visibility;
The Oxford dictionary defines the word accountability as;
“’the fact of being responsible for your decisions or actions and expected to explain them when you are asked”
Sounds obvious, but would you want to be held accountable for something you have no knowledge of?
Surely businesses cannot be held accountable by their consumers and peers for the actions and policies of their suppliers within their supply chain?
However, businesses are finding themselves under increased scrutiny and being asked to provide evidence of who is supplying them. Increasingly consumers are demanding to know how their product was made and if it was done in a responsible way. They want to see evidence of corporate social responsibility in supply chains.
As a consumer, ask yourself, if a scandal broke about a product you buy, would you blame the raw material supplier or the household brand that you have bought?
MIT Sloan School of management found that consumers may be willing to pay between 2% and 10% more for products from companies that provide greater supply chain transparency.
This is of course a benefit to both you and the consumer!
At QADEX we believe that it is no longer enough to make statements and have policies as a tick box exercise.
To meet Sustainable Development Goals and satisfy the consumers for transparency there must be evidence of traceability.
“Our firm belief is that without visibility there is no accountability and only those most responsive to change will survive.”
Stephen Whyte – QADEX MD
The trend of conscious consumerism will only rise – it is not going to go away, if you can map, mitigate and prove you will survive & prosper, those that can’t, or won’t, will be left behind.
Why isn’t everyone executing supply chain risk Management in the food industry?
- Supply chain management is perceived as being complicated.
- Businesses do not have enough data about their supply chain.
- Lack of resources and time to carry out in depth risk assessments.
Fear that if something is uncovered on their supply chain they will be criticised and held accountable.
As a business set up on the back of working in and understanding the food industry, we understand the challenges surrounding corporate social responsibility in supply chains.
This is why the STAR Index was created – to be a suite of tools to enable you to map, mitigate and manage risk all in place.
Rising to the challenges in supply chain risk management in the food industry
Supply chain risk is not static, new risks emerge everyday, suppliers in your chain will be compliant one day but could fall into a risk category in a very short period of time.
The STAR Index helps you to keep control of multi faceted risks and this ever changing landscape.
It provides you with a single view of all risk across your supply chains and raw materials from 4 key areas;
- Responsible sourcing
The methodology used a RAG (Red, Amber, Green) rated index which measures and benchmarks your business and its supply chain. This is driven by using a combination of publicly available information, supply chain data and our own expertise.
Through simple, dynamic dashboards and supply chain reporting you can identify and prioritise risk in your supply chain. It gives you a guideline and high level overview for you to know where to focus improvements and change.
Our proven methodology is helping our customers already, would you like to join them?