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Importance of Risk Assessment in Manufacturing
Manufacturing companies invest millions in human and equipment in the bid to achieve peak productivity and profits. Achieving monthly revenue targets may be the most vital factor when it comes to procurement of such assets, there are certain factors that can drastically affect the workings of a company. By investing in machinery, tools, personnel, etc. companies open themselves up to greater level of risks. Small mistakes can have wide ranging consequences that can affect the company’s reputation within the market.
Surely, the assets procured by an enterprise are vital for its existence, therefore, techniques need to be implemented that would minimize risks and safeguard the company’s future.
This is the first step towards mitigating risks present within the company’s infrastructure. The nature and severity of the flaws within the processes, physical or otherwise need to be identified through a comprehensive assessment. The threats may vary from personnel protection to supply-chain security, therefore, a holistic and customized survey is necessary. The perfect way to deal with this is a security audit, which may be carried out internally if expertise exists.
Conducting thorough screening and background checks serves as a company’s first line of defense against threats that can virtually go undetected due to their proximity with the workings of the system. Consulting a corporate security provider would bring in sufficient protection against this.
Furthermore, the same has to be carried out against vendors, suppliers or other partners that have a hand in the workings of the company. The risk of flawed output is much more pronounced in the manufacturing industry where there are several layers of vendors and suppliers within the entire production chain.
The level of security preference given to a specific area should be dependent on the value of assets or processes being carried out. Basic physical security standards must be implemented and maintained at a regular basis. An easy way to ensure their success is to carry out thorough testing, preferably by hiring an external agency so that investigation remains unbiased.
One of the best ways to carry out this type of investigation is by rendering the services of a penetration testing companies. There are several types of pen-test organizations, ranging from those that test the physical vulnerabilities of the system to those that inspect the virtual security of an establishment.
Closures and Restructuring
Restructuring notices can often lead to violence from worker unions or plant personnel who oppose such policies. In order to deal with an unwanted situation, companies should prepare in every possible way, engaging local law enforcement or hiring private security to safeguard the company’s equipment and personnel.
A security plan must be shaped well before a restructuring announcement is made, preferably under the guise of confidentiality. This would prevent the effected side from planning a disruption in operations before the announcement is made. In addition, multi-national companies should acknowledge the fact that decision at one physical location can have an effect over a company’s establishment at another point. Therefore, they should identify all hot spots and try their level best to isolate the spread of unrest.
Managing risk requires a proactive approach rather than a reactive one. Company executives should be prepared well in advance for an untoward incident to happen and must have appropriate responses that can be initiated instantly. To sum it up, the strategies implemented should revolve around the following four tips:
- Assess risks
- Engage professionals
- Understand the scope
- Prepare and implement policies in advance
Interested in learning more, connect with an ACD expert!
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