Supply Chain Risk Diagnostic and Analytics
Take the Supply Chain Risk Diagnostic
Aon’s Supply Chain Risk Diagnostic Tool is designed to allow risk leaders to quickly assess the effectiveness of their supply chain risk management against more than a dozen critical supplier and enterprise exposures.
Identify and Quantify Supply Chain Risks
By completing a 30-minute online survey, risk managers can gauge how well their supply chains are protected against more than a dozen critical supplier and enterprise exposures including natural disasters, cyber threats, political or terrorism risks, supplier insolvency, product integrity and reputational risk.
The diagnostic tool helps spot potential vulnerabilities that may require immediate action or deeper evaluation, as well as areas where a firm applies a mature risk management approach.
Supply Chain Risk Diagnostic Key Features
Incorporating AI components, Aon’s Global Supply Chain Risk Diagnostic draws on Aon’s deep and varied expertise across brokerage, supply chain risk consulting, and industries to offer:
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Holistic Supply Chain Risk Management
Whether your firm is fully engaged in managing risks related to its supply chain or just beginning the process of evaluating these exposures, the diagnostic can help strengthen your understanding of your overall supply chain risk management.
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Speed
The online survey takes about 30 minutes to complete. The free diagnostic speeds up the analysis of your supply chain risk, and is supplemented with a consultation with an Aon specialist.
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Clear Results
Easy to interpret report with a “spotlight assessment” of green, yellow and red indicators identifying your risk management program’s strengths and deficiencies:
- Green: Indicates maturity in the firm’s risk practices
- Yellow: Denotes a deficiency in one or more of its measures to manage a specific exposure
- Red: Flags a potential vulnerability to related loss
Delving Deeper: Examining Supplier and Enterprise Risks
The diagnostic risk assessment encompasses a wide range of exposures that relate specifically to suppliers, as well as enterprise risks that could represent supply chain vulnerabilities.
| Supplier Risks | Enterprise Risks |
| Disruptions in supplies of raw materials or components | Geopolitical events |
| Natural disasters | Legal and regulatory issues |
| Operational Incidents | Intellectual property theft |
| Supplier insolvency | Cyber-related exposures |
| Product integrity | Pandemics |
| Unethical business practices | Customer financial issues |
| Product recall | Transportation risks |
| Product liability | Country-specific political risk |
Supply Chain Impact Analysis
Having identified the perils in the Supply Chain Risk Diagnostic, a Supply Chain Impact Analysis is central to setting targets for risk transfer. Aon’s Supply Chain Impact Analysis can determine financial materiality by building a quantitative model. This model identifies the critical suppliers and helps set appropriate contingent Business Interruption limits.
Supply Chain Impact Analysis Benefits
The main objectives of Aon’s Supply Chain Impact Analysis include:
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Identifying Business Interruption
information to fully understand risk exposure. This gives the insights to obtain adequate Business Interruption and Contingent Business Interruption coverage.
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Mapping the supply chains
of the major product classes produced by organizations.
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Developing a risk profile of property damage
related business interruption risks as they relate to Owned Site Risks, Critical Suppliers and Critical Customers.
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Quantifying major loss events
in terms of Business Interruption exposures.
Active Loss Prevention
After the initial impact analysis and diagnosis of key supply chain risks, it is also advisable to conduct further analysis to increase the understanding of root causes and identify areas for improvement across:
- Supplier Risk surveys and audits
- Natural Catastrophe analysis
- Cyber risk assessment
- Optimizing the value of insurance programs
By quantifying supply chain risk, companies can prioritize their supply chain risk management efforts and allocate resources more effectively. Having a clear understanding of supply chain risks can also help companies make more informed decisions about their supply chain strategy, such as choosing suppliers or diversifying their supply chain.
