Top Five Supply Chain Security Best Practices

1. Build a Redundant Supply Chain

COVID taught our logistics teams one big lesson: Have a backup plan. The best supply chains don’t just feature a plan A but also a plan B. This could include extra inventory or the use of multiple suppliers for every part in the chain. Since COVID, we know some companies have shored up their supply chains by building new relationships with local or regional vendors in the U.S. After years of offshoring, many companies are bringing supply chains local again.

2. Purchase Cargo Insurance
Purchase Cargo Insurance

Every shipping carrier offers some form of liability coverage. Supply Chain Management Review says it’s not enough. They recommend additional cargo insurance to cover your materials during the transportation process. They also point out that more than 10,000 containers fall into the ocean each year during severe weather. Another issue is criminal incidents with ground transport vehicles. Cargo insurance can add protection for both transported and warehoused goods.

3. Evaluate and Communicate with Your Supply Chain Partners
Supply Chain Partners

Screening your vendor partners for cyber and physical security measures should always be a supply chain security best practice. Evaluating the risks associated with each vendor is a critical part of supply chain security. This can help ensure the quality of the goods you source. It can also help you identify the potential for risks.

4. Use AI-Powered Software
What are the Costs of a Remote Video Monitoring Service

Artificial intelligence (AI) is making its way into our cybersecurity tools. You’ll find these algorithms in things like building access tools. But the place where AI has made real inroads is in video surveillance. Entrepreneur says, “The growing use of artificial intelligence (AI)-powered video analytics over the years has radically altered and improved the operations of many processes.” AI cameras can gather important data online via their video feed. These tools c