Know your supply chain
While global supply chains can deliver enormous benefits from financial savings to innovative ingredients, they can also create increased risk.
A global supply chain raises the possibility of having to litigate in a foreign country, as well as the increased costs that go with that in terms of translation and appointing additional counsel should problems occur with a supplier.
According to Pratten: “We live in a global market now and companies will do business all over the world. What firms often fail to consider is the potential increased risk that this creates.
“Companies must ask themselves, particularly in light of the Mars recall earlier this year which spanned more than 50 countries, if they are equipped to deal with such an issue.
“If companies are not, and they are working across the globe, they need to put in place adequate protections in the event that something goes wrong.”