Risk Management in Logistics

Risk management in logistics involves identifying, assessing, and preparing for potential problems that could disrupt the efficient movement of goods. This includes factors like delays, theft, natural disasters, or supplier issues. The goal is to minimize the impact of these risks through strategic planning, such as diversifying suppliers, choosing reliable carriers, and maintaining safety stock. Effective risk management ensures that products reach their destination on time, within budget, and with minimized disruptions, maintaining the overall reliability and smooth operation of the supply chain.