Today many senior managers recognize that supply management is an important strategic process, and that its importance has increased with time. Most authorities now agree that risk management is a critically important part of supply management processes, and that we ought to be able to do it better, faster and with fewer resources. Even so, important questions remain concerning what leaders and supply managers know about their supply management processes, suppliers and supply chains.

Is your supply management organization adequately staffed, organized, trained and supported to manage the requisite world-class supply operations? Is there a specific budget for risk management? Do we know what the major political and economic risks are from worldwide operations? Do we know and understand the risk stemming from our supplier selection processes and supply allocation strategies? If these questions raise concerns, you need to look at your supply management strategies, budget, organization, processes, staff and training.

I know of a company that uses a single-source supplier to meet worldwide requirements for an important item. The supplier is located in the tornado belt, and contingency plans are not in place to ensure supply if a tornado destroys the supplier. Do you know the capabilities and locations of alternate suppliers for your single-source suppliers? Could you reallocate demand to other suppliers to avoid a shutdown? Do you have viable long-term contracts with mitigations to reduce or eliminate most risk? Is your supply staff trained, supported and ready?

Organizations exist and operate here in Iowa to help businesses and other organizations develop meaningful solutions for the problems listed above, along with other problems in the supply chains.

The Institute for Supply Management (ISM) is foremost among these organizations. Founded in 1915, ISM is now an international organization with members in more than 40 countries. As a not-for-profit professional educational organization, ISM offers hundreds of educational and professional development activities each year.

ISM also reaches out to and serves local markets with its affiliate organizations chartered by the states. The affiliates create and lead professional educational programs to meet the needs of the local professional membership and markets.

ISM-Central Iowa (ISM-CI), our local affiliate, provides a regular schedule of professional education programs each year. ISM-CI also has scheduled four programs featuring nationally known supply management leaders in 2011. These seminars will address major supply management issues such as advanced contracting, advanced negotiations, financial management and indirect spending analysis and control, and are available to all organizations.

You can learn more at www.ism-ci.org.

Robert Kemp is the president of Kemp Enterprises in Clive.