Supply chain risk management

The cost-effectiveness of resilience and other measures is an important factor since, as long as things are running smoothly, they add to the costs of production.

[4] Some supply chain logistics techniques such as supply-chain optimization and lean manufacturing can prejudice continuity and resilience.

[7] The 2011 survey respondents also noted that 40% of the reported disruptions originated upstream with sub-contractors rather than prime contractors or first-tier suppliers.

[10] "Time to recover" (TTR) is a valuable metric measured in weeks, originally introduced by Cisco and adopted by the Supply Chain Risk Leadership Council.

[11] TTR measures the time it takes a company to restore full operational output following a major supply chain disruption.

The determination of TTR assumes that a facility is essentially unusable due to a major event, requiring extensive repairs and reconstruction, as well as re-sourcing and re-qualifying of key equipment used in manufacturing and other operations.