11 February 2012

Homeland Resilience: Operational Risks in the Supply Chain...

The U.S. Homeland Security Intelligence (HSI) priorities are good indicators of what the private sector can expect for government intelligence coordination, cooperation and collaboration in the next few years. Operational Risks to business operations in the United States are ever more so complex and increasingly tied to the security of the homeland.

In many cases, the private sector has the answers that can pave the way for improved relevancy and accuracy of information for the government. This translates to greater operational risk management insight that would not previously be known or enhances the clarity of the insights already known by the Homeland Security Intelligence mechanisms. Here are a few of the top of mind categories that the private sector and the public sector could be forging new partnerships together:
  • Global Maritime Shipping
  • International Banking & Finance
  • New and Developing E-Commerce Technologies
  • Application and Use of Social Media - Charting Cultural Topography
  • Modeling Human Behavior - Patterns and Applications of Usage
  • Nanotechnology
  • Robotics and Automation - New and Developing Technologies and Uses
  • Drug Flow Modeling - Legitimate North and Southbound Shipping Routes and Vulnerabilities along the SW Border

Why should the private sector be working on these and sharing what they know with the appropriate channels in the U.S. Government? For one, to reduce your own Operational Risks, as you run your business operations across the country and as you operate on a more global basis. Overall, Homeland Security is reliant on a resilient "Global Supply Chain".

International trade has been and continues to be a powerful engine of United States and global economic growth. In recent years, communications technology advances and trade barrier and production cost reductions have contributed to global capital market expansion and new economic opportunity. The global supply chain system that supports this trade is essential to the United States’ economy and is a critical global asset.

Through the National Strategy for Global Supply Chain Security (the Strategy), we articulate the United States Government’s policy to strengthen the global supply chain in order to protect the welfare and interests of the American people and secure our Nation’s economic prosperity. Our focus in this Strategy is the worldwide network of transportation, postal, and shipping pathways, assets, and infrastructures by which goods are moved from the point of manufacture until they reach an end consumer, as well as supporting communications infrastructure and systems. The Strategy includes two goals:

  • Goal 1: Promote the Efficient and Secure Movement of Goods – The first goal of the Strategy is to promote the timely, efficient flow of legitimate commerce while protecting and securing the supply chain from exploitation, and reducing its vulnerability to disruption.
  • Goal 2: Foster a Resilient Supply Chain – The second goal of the Strategy is to foster a global supply chain system that is prepared for, and can withstand, evolving threats and hazards and can recover rapidly from disruptions.

One of the vital linchpins for these goals to occur will be a converged and globally accepted management system for supply chain resilience. This blog has discussed ISO 28000 in the past and now that the White House has published the policy direction we need to revisit why this is a private sector imperative:

ISO 28002 Standard for Resilience in the Supply Chain approved by ISO

The latest member of the ISO 28000 series, the ISO 28002 Standard for Resilience in the Supply Chain, has been unanimously approved for publication by the International Organization for Standardization (ISO).

Based on the ANSI/ASIS Organizational Resilience Standard (ANSI/ASIS.SPC.1), the ISO 28002 provides a basis for an organization to evaluate both its organizational and supply chain risks and to develop a comprehensive strategy to manage the risks that may disrupt its operations.

The ISO 28000 series of standards seamlessly integrate with the ISO 31000 risk management standard, thereby allowing organizations to develop a cost effective holistic approach to managing risk.

With ratification of the ISO 28002, the ASIS/ANSI.SPC.1 Standard becomes the only US Department of Homeland Security Private Sector Preparedness (PS-Prep) standard with a ratified ISO counterpart.

For those private sector organizations that are for some reason not familiar with the DHS PS-Prep program, you should be. It is the path towards creating a more resilient private sector that will have the lions share of responsibility for keeping the supply chain operating after any significant disruption, whether physical, cyber or both.

So what? So what does all of this mean for the Operational Risk Management Professional of a U.S. business? It means that you have to take it up a notch. Gather the heads of your risk silos from finance, IT, corporate security, human resources and your crisis or continuity of operations section. Look at ISO 28002 as a team and begin the process of digesting what it means to your organization. How could you internalize and even operationalize together to increase your level of resilience from 36 hours to 72 hours?

What does DP World understand about its importance that you might not?

Tarragona, Spain / Dubai, United Arab Emirates, January 15, 2012:- Global marine terminal operator DP World has achieved a major security milestone with DP World Tarragona achieving ISO 28000 certification – the 40th DP World facility to receive the independently audited award.

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