May 7, 2021

Bureau Veritas completes first pilot project with Shell

riskmanagement
Supplychain
DigitalPlatforms
supplychainresilience
Sam Steers
3 min
Courtesy of Getty Images
Bureau Veritas has completed their Supply-R pilot project as part of a collaboration with Shell to assess its supply chain resilience...

Bureau Veritas has announced it has completed its first pilot project in partnership with Shell.

The France-based certification company launched the Supply-R project in 2020 as a digital platform and supply chain risk management solution with the aim of designing it to support business continuity and assess supply chain resilience. 

Bruno Ferreyra, Executive Vice President of Bureau Veritas, talked about the importance of understanding risks in the supply chain industry.

He said: “Today, companies want to consider the full picture of predictable risks related to their supply chains, taking into account the fact that external factors can create disruption.

“They need to build and implement new processes that can fix past problems and position their organisations to operate smoothly in the future. With Supply-R, we are offering a customisable modular structure that addresses critical elements for a resilient supply chain, such as business continuity, technical capabilities, HSE, data integrity & information security and logistic & inventory practices,” he said.

Expressing his enthusiasm for completing the project, he added: “We are very happy to have completed our very first pilot project with Shell with a constructive and collaborative approach that has confirmed the potential of our solution.”

According to the company independent on-site verification was conducted at various factories and across several product lines supplied to Shell, resulting in the pilot producing a tailored risk index and an online dashboard to visualise the risk profiles of each supplier. 

General Manager of Systems Engineering and Global Head of Engineering Management & Quality at Shell, James Haug , talked of how Shell can enhance risk management for Bureau Veritas. 

He said: “Our existing assets today and our projects that build tomorrow, all require a supply chain that can deliver, safely and competitively. At Shell, by leveraging digitalization of processes across our worldwide operations and using a holistic methodology, we can optimise risk management processes and manage our supply chain at a global level.”

Haug also said that Shell’s collaboration with Bureau Veritas had “helped test their model in real conditions by auditing and scoring key suppliers.” This enabled Shell to “quickly obtain a customised risk assessment sample based on Bureau Veritas’ 2/2 methodology,” he claimed. 

He added that the project “can enable deep dives into specific areas and findings”, with the tool being a good solution to our challenge of managing an increasing number of suppliers.”

Supply-R, digital platforms and risk management solutions

According to Bureau Veritas, Supply-R is a digital platform and supply chain risk management solution which allows companies to assess if their supply chains are agile and resilient enough to cope with major disruptions. Through mapping out companies’ supply chains enabling product control, Bureau Veritas claims that the solution can also help protect business continuity. 

Supply-R also collates a customised risk assessment of the supply chain based on data collected by critical suppliers using on-site verification. The company claims that all information is collected using the digital platform which improves business decisions and minimises the risk of a shortage of data. 

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Jun 9, 2021

Biden establishes Supply Chain Disruptions Task Force

supplychain
Supplychainriskmanagement
Procurement
Biden
3 min
US government lays out plans for supply chain transformation following results of the supply chain review ordered by President Biden in February

The US government is to establish a new body with the express purpose of addressing imbalances and other supply chain concerns highlighted in a review of the sector, ordered by President Joe Biden shortly after his inauguration. 

The Supply Chain Disruptions Task Force will “focus on areas where a mismatch between supply and demand has been evident,” the White House said. The division will be headed up by the Secretaries of Commerce, Transportation, and Agriculture, and will focus on housing construction, transportation, agriculture and food, and semiconductors - a drastic shortage of which has hit some of the US economy’s biggest industries in consumer technology and vehicle manufacturing. 

“The Task Force will bring the full capacity of the federal government to address near-term supply/demand mismatches. It will convene stakeholders to diagnose problems and surface solutions - large and small, public or private - that could help alleviate bottlenecks and supply constraints,” the White House said. 

In late February, President Biden ordered a 100 day review of the supply chain across the key areas of medicine, raw materials and agriculture, the findings of which were released this week. While the COVID-19 health crisis had a deleterious effect on the nation’s supply chain, the published assessment of findings says the root cause runs much deeper. The review concludes that “decades of underinvestment”, alongside public policy choices that favour quarterly results and short-term solutions, have left the system “fragile”. 

In response, the administration aims to address four key issues head on, strengthening its position in health and medicine, sustainable and alternative energy, critical mineral mining and processing, and computer chips. 

Support domestic production of critical medicines

 

  • A syndicate of public and private entities will jointly work towards manufacturing and onshoring of essential medical suppliers, beginning with a list of 50-100 “critical drugs” defined by the Food and Drug Administration. 
  • The consortium will be led by the Department of Health and Human Services, which will commit an initial $60m towards the development of a “novel platform technologies to increase domestic manufacturing capacity for API”. 
  • The aim is to increase domestic production and reduce the reliance upon global supply chains, particularly with regards to medications in short supply.


Secure an end-to-end domestic supply chain for advanced batteries

 

  • The Department of Energy will publish a ‘National Blueprint for Lithium Batteries’, beginning a 10 year plan to "develop a domestic lithium battery supply chain that combats the climate crisis by creating good-paying clean energy jobs across America”. 
  • The effort will leverage billions in funding “to finance key strategic areas of development and fill deficits in the domestic supply chain capacity”. 


Invest in sustainable domestic and international production and processing of critical minerals

 

  • An interdepartmental group will be established by the Department of Interior to identify sites where critical minerals can be produced and processed within US borders. It will collaborate with businesses, states, tribal nations and stockholders to “expand sustainable, responsible critical minerals production and processing in the United States”. 
  • The group will also identify where regulations may need to be updated to ensure new mining and processing “meets strong standards”.


Partner with industry, allies, and partners to address semiconductor shortages

 

  • The Department of Commerce will increase its partnership with industry to support further investment in R&D and production of semiconductor chips. The White House says its aim will be to “facilitate information flow between semiconductor producers and suppliers and end-users”, improving transparency and data sharing. 
  • Enhanced relationships with foreign allies, including Japan and South Korea will also be strengthened with the express proposed of increasing chip output, promoting further investment in the sector and “to promote fair semiconductor chip allocations”. 
     

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