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Supply Chain Disruptions


Increased connectivity allows for faster expanded reach when sourcing materials and real time tracking can aid businesses in better allocation of financial resources. As a consequence businesses can maintain lower inventories, raw materials, and components that may exceed the usual operational cycles and rely on the real time tracking and expedited ordering & processing systems to keep pace with demand. Larger ocean liners are also moving three and four times [greater] the number of containers than in recent years past.

Whether or not you participate in lean inventory management, considerations should be given to the inability of a vendor to supply or your ability to supply a customer. Knowing how far up or down the chain (extended supply chain) a business should chase requires a starting point. Gaining a better understanding will help develop a clearer picture of your risk profile and solicit management response.

An organization should have an action plan that may include alternate sources, reciprocal agreements, & insurance recovery.


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Capell Insurance Management LLC  

Wescosville, PA 18106

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610-530-1966