Jan 14, 2014, 05:00 ET
Harnessing “Big Data” to enable continuous and multi-dimensional Supplier Risk Assessment
WESTWOOD, Mass., Jan. 14, 2014 /PRNewswire/ — RAGE Frameworks, a provider of technology enabled solutions and services, released a white paper on automating supplier risk assessment, enabling unattended and continuous monitoring of ALL global suppliers of a firm, taking into account the specific operating context and environment [e.g. Industry, sector, macro-economic, geo-political] of each supplier individually.
The procurement leader today is hamstrung by the following typical problems and has to settle for a narrow and partial view of supplier risk:
- Inadequate budget and resources to meaningfully monitor even a small portion of the supplier base. Less than 5% of the suppliers [critical suppliers] are monitored.
- Supplier risk monitoring is infrequent, sometimes annual and sometimes event driven.
- 2nd, 3rd and nth order effects are not systematically monitored. [e.g. the effect of disruption of lumber supply from China to Brazil on a US based supplier.]
- Traditional credit bureau analysis lacks early warning value.
- News sites push the burden of reading and interpreting news right back on the overloaded procurement analyst.
Real Time Intelligence [RTI™] for Supplier Risk from RAGE Frameworks empowers procurement leaders and specialists with a holistic and uncompromised view of supplier risk.
Supplier Risk RTI™ combines forward-looking financial analysis with real time analysis of global events [as reported in traditional media, social media posts, blogs], data from most major bureaus around the world into a Supplier Risk score for each supplier. The RAGE Semantic Intelligence engine sifts through hundreds of thousands of information sources each day and determines what is relevant for a specific supplier and what amongst the relevant is most important from a risk perspective.
Nick Adams, VP Sales said, “Those responsible for Supplier Risk monitoring find themselves in the middle of the perfect storm of performance pressures, unprecedented regulatory requirements, highly distributed and fragmented supplier bases, the lack of effective technology and the lack of organizational preparedness to deal with the information overload of the internet age. For Financial Institutions, where the larger organizations have upwards of 20,000 suppliers, in the past 9 months CFPB has received 79,000 complaints and CFPB enforcements alone have resulted in $525M in settlements. FFIEC, OCC have heightened audit rigor and compliance requirements for monitoring suppliers. Our vision in coming up with the RAGE Supplier Risk RTI™ product was to shift the game from partial, episodic and inconsistent supplier monitoring to complete, continuous and consistent monitoring of every supplier, applying both financial analysis and linguistic interpretation of content in the media, blogs and social media. Our goal is to enable the Supply Chain Risk and the Supplier Risk professional to keep an eye on the entire risk landscape all the time.”
Read the RAGE White Paper at:
About RAGE Frameworks, Inc.
RAGE Frameworks Inc. provides Business Process Automation and Semantic Intelligence solutions and products with the mission of bringing unprecedented Speed, Flexibility and Insight in solving the most complex and mission critical enterprise business problems. To learn more about RAGE, visit www.rageframeworks.com