Gartner Research

Thrive in Uncertain Times by Formalizing Risk Appetite and Connecting Business and Procurement Strategies

Published: 28 June 2019

ID: G00403809

Analyst(s): Koray Kose

Summary

Aligning business and procurement strategies through a comprehensive risk appetite statement is fundamental to focus and maximize resources, improve competitiveness and enhance resilience. This research equips CPOs with the risk appetite concept to drive success from strategy to operations.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Align Business and Procurement Risk-Reward Strategies by Defining a Clear Risk Appetite
    • Own the Process and Start With the Stakeholder in Mind and in Focus
    • Assess and Align Goals, Mindset and Requirements
    • Complement and Communicate While Building the Procurement Risk Appetite Statement
  • Build a Framework to Continuously Predict, Assess and Manage Sourcing Risks
  • Complement the Risk Review Process With Technology Solutions to Optimize Performance and Help Achieve Expectations

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