In today's complex economic climate, supply chain resilience is more critical than ever. To help navigate these challenges, we sat down with James Gellert, Executive Chairman of RapidRatings, for a conversation about the macroeconomic factors impacting suppliers and how to mitigate risk. In this interview, James will provide a sneak peek of what you can expect from our upcoming webinar, "Supply Chain Risk Concentration in 2024."
As a data-driven organization, what supplier trends is RapidRatings seeing play out right now?
Our data paints a concerning picture. With rising costs and interest rates, private companies – the backbone of many supply chains – are feeling the pinch. This translates to less financial flexibility for them, limiting their ability to adapt and invest in resilience. Even worse, financially weak suppliers become especially vulnerable to disruptions, potentially jeopardizing entire supply chains.
Why do you believe supply chain risk concentration is an important topic right now?
Risk concentration is a hidden threat. When you rely heavily on a limited number of suppliers, disruption among those suppliers can have a crippling effect. Our data shows a staggering 196% year-over-year increase in supplier defaults, highlighting the domino effect disruptions can have.
What key challenges do companies face when trying to understand risk concentration?
Companies face two major hurdles in tackling risk concentration: a lack of visibility and a lack of predictive analytics. Many companies today are missing deep insights into the financial health and overall stability of their suppliers, and they struggle to identify and anticipate where risk might crop up within their supply chains.
Who would benefit from joining the webinar?
Any professional who relies on a smooth-running supply chain. This means a supply chain that can be proactive in anticipating and preempting problems, one that efficiently adapts to challenges and one that can take advantage of growth opportunities. Supply chain managers, risk management professionals, and anyone with a stake in ensuring operational continuity.
What sectors will be focused on?
Global supply chains, but we’ll get specific into areas where we’re seeing spikes in risk levels: automotive, healthcare and pharma, aerospace and defense, retail and more.
What key takeaways can attendees expect to gain from attending this webinar on Supply Chain Risk Concentrations in 2024?
Attending this webinar will give you knowledge and strategies needed to identify and address concentration risk in your own supply chain. This includes:
- Analysis of risk concentration across multiple sectors
- Data trends in supplier defaults and disruption
- How to leverage predictive methodologies in supplier risk management
- Supply chain and procurement’s importance in end-to-end risk management
- Global perspectives on events impacting supply chain in 2024 and beyond
About James Gellert:
James H. Gellert is the Executive Chairman of RapidRatings, a financial health data and analytics company based in New York City.
He is a recognized international authority on corporate counterparty risk management, supply chain risk, the health of public and private businesses, and US rating regulation.
Mr. Gellert began his career in the credit world, working in Debt Capital Markets at multiple global banks, most prominently running business for Deutsche Bank, bringing non-US corporates, financial institutions, and sovereign entities into the US public and private debt capital markets, as well as for issuance of global bonds. Since entering the technology world, he has run four private companies – three in data, risk, and media, and one, an investment banking boutique focused on raising capital and M&A in the financial information services industry. He sold three of these companies and acquired RapidRatings to focus entirely on financial risk for credit and supply chain risk professionals.
RapidRatings has received awards and accolades for risk management in credit and supply chain, and Mr. Gellert has been awarded the “Pros to Know” title in the supply chain industry. He is a regular guest on broadcast news outlets, including CNBC, Bloomberg TV, and Yahoo! Finance; and quoted in The New York Times, Wall Street Journal, Financial Times, Forbes, Fortune, MarketWatch, and industry trade publications. His views have consistently been sought by federal regulators and the United States Congress, and he is a frequently invited panelist and speaker at the US Securities and Exchange Commission and other regulators.
