Understand your supplier risk priority

Our risk prioritization method enables you to focus on high-priority suppliers, enhancing risk management strategies and improving the sustainability of your supply chain. Our tool considers three essential factors: risk level, influence, and causal contribution, and uses a formula to categorize suppliers into four priority levels: very high, high, medium, and low. This approach allows for a structured and quantitative method of risk prioritization, enabling you to allocate resources accurately and reduce supply chain hazards effectively.

What is the risk level?
It consists of two parts: abstract assessment and self-assessment. Abstract assessment involves the identification of suppliers or business entities that operate in high-risk countries or engage in high-risk productions. For those identified, it is recommended to send a self-assessment request aimed at asking targeted due diligence questions. The ultimate Self-assessment score indicates the overall risk level since it ensures a well-informed understanding of the risk profile.


What is the Influence level?
This is a level (low, medium; high or very high) that helps to concentrate efforts where they're more likely to yield proactive results and sustainable impact. The level is derived from answers in the self-assessment questionnaire to estimate how much influence can you exert over the supplier in question. Three variables are considered: Order volume/revenue, length of the relationship, and quality of the relationship. 

What is the Causation?
The causation refers to the potential indirect impacts you might have on your suppliers' operations, It is either ‘yes’ or ‘no’ once a direct question in the supplier’s self-assessment is answered.