Risk audit of the entire supplier base for the Private Label
Why is transparency important for retailers ?
Lack of transparency from suppliers and supply chain activities leads exposure to risk and costs:
- A product recall every day, despite the annual quality budget of 8M€
- Risk and need to answer to regulation on raw material origin (EU Deforestation Regulation)
- Manual assessment of entire base of 14700 Rank 1 suppliers is impossible and time consuming
Retailers want to be able to manage their food safety and regulation for the retailer’s own label brand.
This use case demonstrates how to effectively manage risks in supply chains and minimize product recalls.
The solution enhances visibility across supply chains and assesses risks effectively with scalable technology. It gathers data from suppliers and utilizes it through specific modules for targeted analysis and actionable insights.
- Data gathering on 15,000 directs Rank 1 suppliers from internal and external databases
- Digital Surveys on suppliers to gather additional information
- The data from different sources are aggregated
- LiveAssess Heatmaps of risks according to specific criteria:
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- Deforestation Risk
- Food Safety Risk
- Animal Welfare Risk
What was the output of the project?
- Precise and comprehensive risk analysis on whole supplier ecosystem (15,000 suppliers).
- Regulatory compliance on “sensitive” products / suppliers.
- Transparence on riskier suppliers to protect the retailer brand integrity.
- Significant savings for Procurement and Quality teams compared with manual assessment.
The value for the client
Cost saving
Digital surveys replace manual data collection, reducing the workload of the quality team on time-consuming tasks.
Risk Management
More accurate and extensive data analysis reduces liability risks. Scoring enables quality teams to focus on high-risk areas. It is a more efficient use of resources.
Regulatory Compliance
Compliance with complex regulations reduces risk of fines and sanctions.
Supply Chain Transparency
Complete visibility ensures product integrity on retailer’s private label.
