In today’s economic climate, supply risk is everywhere. Since there is not a single owner within procurement, supply chain or operating units for these risk issues, finance organizations must take a leading role in helping the business to better understand supply risk. Aravo SIM is the information hub that can enable finance professionals to take a more proactive risk management stance, helping the business and reducing downside risk.

One of the challenges of managing supply risk is that many types of risk are hard to predict. Hence, they’re hard to proactively mitigate and manage with a perfect degree of certainty even when an organization has access to the best possible information. However, much can be done to spot and correct the decline of a supplier’s financial viability and other risk factors.

Looking at a combination of internal performance information, as well as various external data, companies can predict with a high degree of accuracy the likelihood of whether or not a supplier will be in business one, two, three, or even six months from now.

Aravo SIM can manage and pull this information together to help make accurate forecasting predictions and take action when risk appears to increase for a specific supplier.

Aravo SIM:

• Centralizes the management of all supplier risk-related information
• Provides a common view of internal and external risk-related metrics
• Enables organizations to tier and segment suppliers into risk categories
• Provides a framework to take corrective action steps
• Manages supplier compliance, and related information and credential