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Cost Of Supply Chain Disruption

oboloo Glossary

Cost Of Supply Chain Disruption

Cost of Supply Chain Disruption (CSCD) is the financial impact caused when a supply chain interruption occurs in the procurement process. Such disruptions can stem from a variety of sources, like natural disasters, political upheaval, and product defects. CSCD takes into account all costs related to the disruption, such as lost revenue and increased costs due to delays or operational changes. The goal of assessing CSCD is to understand the financial impacts that can arise from supply chain disruptions and apply strategies to mitigate them. It’s important for procurement professionals to keep CSCD top-of-mind, so they can identify potential risks and come up with the right solutions to reduce the impact of any unexpected events.

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