Supply chain resilience: how suppliers and contractors around the world rank

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A global resilience index, produced by FM Global, quantifies the supply chain resilience in 130 countries. The insurer’s Bill Bradshaw explains more

As more companies outsource operations to emerging countries, supply chain risks have become more complex to manage, according to Bill Bradshaw, FM Global operations vice-president – client service manager, London Operations.

In a video interview with StrategicRISK, Bradshaw said: “One of the challenges as a risk manager and as an industry is that the complexity of supply chains is increasing.

“As companies look to either moving their operations to part of the world where they can either increase their operating margins or be closer to their suppliers or their customers, is exposing them to risks that they [were never exposed to before] in their traditional markets.”

FM Global published the findings of its latest global resilience index in March, which ranks the supply chains in 130 countries according to how robust they are.

It found that Thailand, one of the world’s top exporters, fell 20 places to 82^nd. The decline reflects poorer perceptions of Thailand’s infrastructure (for example transport, telephony and energy) and the quality of local suppliers as well as a decline in political stability and the quality of fire risk management. These matters compound the misery of the country’s 2011 floods that wreaked an estimated US$45 billion in losses and business disruption worldwide.

In addition, Europe ranked significantly high. Seven European countries featured in the 10 countries for most resilient supply chain, with Norway ranking first.

The top 10s

Most Resilient to Business Supply Chain Disruption

1. Norway

2. Switzerland

3. Netherlands

4. Ireland

5. Luxembourg

6. Germany

7. Qatar

8. Canada

9. Finland

10. United States – Region 3 (Central)