A huge element of supply chain risk management is managing supplier risk, and that makes this a core area for the Chief Procurement Officer and his or her team. Whether it’s about vetting suppliers before they’re onboarded or monitoring them to make sure you’re not surprised by a sudden bankruptcy or shutdown, these tasks are owned by the procurement organization—and having a team that executes them successfully is critical to the success of not only the department, but the company as a whole.
If you are a CPO, have a CPO or report to a CPO, here are 5 questions your company should be able to answer. All of them are critical to making sure that your function can keep on functioning, and all of them can be answered with a good supply chain risk management program. (To get a true vision of what a risk-aware procurement organization looks, check out our guide to being a risk-aware CPO.)