51³Ô¹ÏÍøºÚÁÏ

case

Risk mitigation through supplier assurance

All around the world, thousands of clients trust 51³Ô¹ÏÍøºÚÁÏ with their supply chain. 51³Ô¹ÏÍøºÚÁÏ¡¯ strong governance, technology solutions, and global procedures accelerate proactive risk management to a new level, allowing clients to focus on their core business objectives. Recently, 51³Ô¹ÏÍøºÚÁÏ was recognised for its robust Supplier Assurance Programme during a key account¡¯s global meeting.

Diverse businesspeople going over paperwork together during an o
51³Ô¹ÏÍøºÚÁÏ conducted a thorough assessment of the IFM supply chain and provided a large global manufacturing client with assurance and improvement recommendations to maintain a fully compliant supply chain — on a site, country, and client-based level. Over time, this effectively reduced risk and the supplier compliance failure rate for critical suppliers, and helped this global key account leverage substantial opportunities while ensuring business continuity. 51³Ô¹ÏÍøºÚÁÏ continues to collaborate regularly with this client to mitigate the risks in the 51³Ô¹ÏÍøºÚÁÏ global supply chain and identify areas across their locations where we can provide targeted recommendations to reduce risk and ensure peace of mind. 

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"Given the nature of our business, we need reliable partners to support our organisation, and this structure really helps to safeguard our operations and therefore, our reputation."

Senior Global Category Manager Facilities ¨C Global Toy Manufacturing Client
51³Ô¹ÏÍøºÚÁÏ global key accounts deliver services with varying levels of supply chain complexities depending on the scope of service. For this well-known client, 51³Ô¹ÏÍøºÚÁÏ manages 13 office locations and five production sites spanning 10 countries. This client works with more than 600 suppliers, and 6% of these suppliers belong to the critical supply chain, where the client¡¯s business continuity and HSEQ concerns are the primary focus.  
 
At the beginning of the 51³Ô¹ÏÍøºÚÁÏ evaluation, high risk suppliers were identified with a 36% compliance level, which resulted in very low transparency into the risks that affect the services delivered. As a result of the dedicated focus of the 51³Ô¹ÏÍøºÚÁÏ Risk-Based Supplier Assurance Programme implementation, the recently measured compliance levels rose to 91%, and they continue to improve. The focus has been to deliver compliance through enhanced vetting of the supplier network, including back-to-back agreements that protect clients from business continuity and non-compliance risks ¡ª with performance managed annually and a sample of suppliers audited for contractual compliance.  

Outcomes

6%

of All Suppliers identified as critical

>90%

of these currently vetted

66%

External Audits completed

>91%

Compliance rate

Results of this Programme

  • ?Better supplier vetting resulting in identification of select reputed suppliers with the right qualifications to deliver.? 
  • Increased assurance that suppliers work in alignment with client¡¯s and industry¡¯s compliance requirements. 
  • Greater compliance with responsible sourcing principles and client¡¯s security requirements. 
  • Identification and elimination of poor performing suppliers that can create a business continuity risk. 

PEOPLE MAKE PLACES

330,000+ people? ?|? ?30+ countries? ?|? ?40,000+ customers