The need to get proactive:: IBM on ‘Complexity and risk’


I may not entirely agree with the conclusions but it is difficult not to agree with the IBM introductory problem statement

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It is little wonder that the services of firms such as IBM are so costly. Because they invest a huge amount in research such as this…only for it to fall on ‘deaf ears’, closed minds and lose out to blind faith in practices that few “on the inside” dare speak-out about or question. EVEN when preserving the status quo with artifice and lies… CREATES AMBIGUITY (A SOURCE OF COMPLEXITY), INCREASES RISK,  FEEDS VOLATILITY AND ADDS TO UNCERTAINTY…in an already VUCA WORLD

UPDATED:: Quake in Japan illustrated fragility of “Global Supply Chain” & flaws in conventional “wisdom”


Business continuity planning life cycle

Business continuity planning life cycle (Photo credit: Wikipedia)

The case for a Company to maintain a current and comprehensive Business Continuity Plan does not come much better than this example from HP!

Modern global supply chains, experts say, mirror complex biological systems like the human body in many ways. They can be remarkably resilient and self-healing, yet at times quite vulnerable to some specific, seemingly small weakness — as if a tiny tear in a crucial artery were to cause someone to suffer heart failure.

via Quake in Japan Broke a Link in Global Supply Chain – NYTimes.com

Of course EVERYONE hopes that they never have to contend with what the Japanese nation have had to live through. But, at a time in the history of our planet, when the impact of events on the other side of the planet have truly global repercussions, “HOPE” isn’t much of a strategy! 

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Trade-Off :: Financial System Supply-Chain Cross-Contagion [Dr David Korowicz]


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I first came across the work of Dr David Korowicz a couple of years ago and was sufficiently enthused that I wrote this article: All you could ever want to know about why complexity is THE big deal

David described his paper, Tipping Point to me as “an attempt to describe globalised complexity in more popular form”. I said then that I thought it went, significantly beyond that!

So, you can imagine how honoured I was to be invited to preview his latest work:

Trade-Off

Financial System Supply-Chain Cross-Contagion: a study in global systemic collapse

Since reading the draft version I have been desperate to share it with my colleagues and contacts! Read more of this post

The supply chain disappointment – Insurance Insight


As supply chain risks rise up the agenda for businesses, there is clearly an opportunity for insurers to step in with up-to-the-minute solutions that respond to new challenges. Dequae believes while the risks have changed, “the insurance solutions have not really adapted to the changes in the supply chains”. She points, in particular, to the need for innovation when it comes to “more coverage and capacity”, as well as broader conditions and “coverage at acceptable prices”.

via The supply chain disappointment – Insurance Insight.

I have become used to some of my more “critical” comments not making it past moderators who are overly-sensitive to the potential for political repercussions.  So here it is:

supply_chain_diagramAnyone who has given the subject matter some thought knows, broadly, what the problems are. Some even know of available solutions. But NONE have acted to seize the competitive advantage that “embedding” solutions as part of their proposition! Read more of this post

Survey confirms concerns with supply chain insurance | FERMA


Future supply chainThis is a topic that has occupied much of my thinking (and writing) in recent years and I am still not convinced that the scale and nature of the risks are fully understood. NOW must be the time for another smart insurer (FM Global have already acted) to respond to their customers’ stated needs!

Global logistics (and reverse logistics) have changed dramatically in the last decade and further changes with considerable insurance implications are predicted for the next 5 years. THE opportunity exists NOW, to address a major and growing problem for fragile global business networks in these uncertain times and in the, hopefully, less volatile times ahead.

How???

By embedding Ontonix "Complexity & Resilience risk technology" within Supply Chain solutions, that:

– extends the risk horizon into the Corporate ecosystem by analysing the structure in information within system (network) data

– enables rapid and regular measurement of the "health" of the system

– identifies areas of risk at source

enables the business owners to become “Risk Leaders”: measure; map; mitigate; manage; monitor, system complexity and resilience to:

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