SupplyChain Magazine February 2018 | Page 41

has potential advantages as the risk is spread . For instance , sometimes a usually solid supplier might no longer be dependable through no fault of their own , in cases of natural disasters – hurricanes , earthquakes or floods – or the increasing effect of cyberattacks , political unrest and economic instability . A spread across geographies is also advantageous should a natural disaster occur .
Kering ’ s report specifically addresses the potential risk to the security , operations and assets of a company as a consequence of climate change . “ Extreme weather events resulting from climate change can impede manufacturing operations and disrupt and delay the transportation of raw materials and finished products . Extreme weather can also affect the livelihood and mobility of people , which
41