Supply risk

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Supply risk

The risk associated with a change in raw materials or input to a project from those assumed or projected. In the context of a resources production project, this is called reserves risk.

Supply Risk

The risk that a company will suffer a loss because it becomes unable to buy the raw materials necessary to make its products. For example, a corn mill has the supply risk that not enough corn will grow or farmers will be unable to transport it to the mill or something else will happen that will render the mill unable to provide its services.
References in periodicals archive ?
Highly volatile costs and growing supply risks have heightened concern within the import-dependent UK economy in recent years.
There are many known effective ways to reduce a country's wheat's (or any commodity) supply risks.
The gloomy outlook overshadowed supply risks from the Middle East and existing outages in the Atlantic Basin.
Global Supply Risk Monitor is a comprehensive Risk Management system, exclusively created for the global sourcing (services outsourcing) industry, to proactively monitor, predict and manage various global supply risks organizations are exposed to.
The increase by some $ 10 per barrel since mid-January has reflected increased oil supply risks due to events in the Middle East and North Africa, but current market pricing suggests that this will be mostly a temporary price shock," an IMF spokesman told the press.
By intelligently combining pooled and dedicated resources, you can simultaneously protect against demand and supply risks.
Its infrastructure allows our operations to take place without supply risks.
It can be used to identify new opportunities for mortgage and construction financing services, gauge competitive supply risks in a geographic market or review relevant projects and participants in an unfamiliar real estate market, PPR reports.
Issuers can purchase chips, plastic, and card personalization items separately to minimize supply risks.
By leveraging the existing data and security models in our E2open Business Network and combining them with social technologies, we can enable our customers and their trading partners to resolve supply chain issues, as well as identify potential demand forecast inaccuracies and supply risks, more quickly and efficiently.
Summary: Growth in oil demand should slow to 2016, the International Energy Agency, or IEA, said on Friday, but Middle East supply risks could keep prices from falling far, and the map of global refining and trade flows is being redrafted.
Supply risks can have a significant impact on business results, including lost revenue, increased cost, lost assets, and decreased market value.