Supply chains are fundamental to the success of most medium-sized businesses and yet many have a poor understanding of just how vulnerable they could be if their suppliers are disrupted.
Zurich research shows that four out of five businesses with a turnover of between £5 and £300m say their supply chain is either very important or critical to their operations. But only 17 per cent have business continuity plans in place and check that their suppliers have made similar arrangements.
This paper examines some of the potential consequences of supply chain disruption on medium-sized businesses, and highlights some of the strategies that businesses can implement to manage these risks. Where appropriate, brokers should be aware of these risks so that they can work with customers to ensure that they provide them with the most suitable insurance products and advice to meet their customers' needs.