Risk-monitoring policy

Supplier-risk alert threshold: 0.60

This case study models 150 suppliers across 3 tiers, each scored for disruption risk from signals like financial health, geographic exposure, and single-sourcing dependency. A lower alert threshold flags more suppliers for procurement's deeper review, catching more real disruption risk but consuming far more analyst time.

Quarterly outcome

Suppliers flagged for review—

True at-risk suppliers caught—

Procurement analyst hours—

Suppliers by disruption-risk score (rose = flagged, ring = true disruption risk)