Ten-fold increase in supplier coverage for a consumer goods major
A $60 billion global consumer goods company with over 50,000 suppliers from high- risk countries such as Russia, Brazil, and China faced increasingly complex regulatory demands. The reason: with so many third parties, its risk-management program could not cope.
Its existing program only covered direct suppliers, which increased the company's risk exposure. And procurement managers and compliance teams had to spend significant time and resources to identify and manage third party risks.
To solve the problem, Genpact designed a comprehensive third-party-screening framework with ongoing monitoring. We conducted an annual screening for all suppliers across the globe using compliance databases to identify red flags related to sanctions, ABAC, political exposure, and adverse media.
As a result, the company gained a clear understanding of the risks it faced and how to mitigate, reduce, and eliminate them.