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Organizations learn Great East Japan Earthquake supply chain business continuity lessons

A study by the Business Continuity Institute (BCI) has found that 82 percent of companies affected by the Great East Japan Earthquake have made changes to their supply chain strategy since the disaster.

A previous BCI survey had identified companies that had experienced supply chain disruption as a result of the Great East Japan Earthquake and the latest study went back to these organizations to examine what the long term effects have been and what changes have been made to their overall supply chain continuity strategy. The study also surveyed organizations that had been impacted by the 2011 Christchurch earthquake.

Key findings included:

• The length of time to recover supply chains varied considerably: While 29 percent recovered within a week, 24 percent required up to a month and 41 percent stated that recovery required between a month and six months.
• 92 percent of interviewees stated that their supply chain strategy had been reviewed as a result of the earthquake.
• In terms of changing supply chain strategies, 82 percent said that changes had been made: 70 percent stated there would be some change; while for 12 percent the change would be significant. In reviewing the comments, the form of these changes manifest themselves in two key areas: preparedness and supply chain strategy.

The report can be viewed in full here (PDF).

•Date: 13th March 2012 • World •Type: Article • Topic: BC general

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