SmartWatch is the name of a new risk-monitoring tool LexisNexis created to help supply chain management professionals keep tabs on potentially disruptive events.
SmartWatch leverages LexisNexis’ global news content and proprietary risk event tagging system to feed information to algorithms that score and surface concerns about an organization’s suppliers and supply management partners, based upon each enterprise’s particular risk profile. The patent-pending system then utilizes unique information visualization techniques, which enable supply management and procurement professionals to efficiently monitor thousands of suppliers for disruptive events that might affect their supply chain. Users gain the ability to proactively uncover hidden dangers, prioritize sensitive situations, track trends over time, avoid costly business interruptions and quickly develop liability mitigation strategies to resolve issues with suppliers, vendors and customers.
"As supply chains become increasingly global and more complex, companies are looking for ways to proactively assess many types of risks to this crucial pipeline," said Tom Ogburn, LexisNexis legal and professional vp and managing director for Business Insight Solutions. "LexisNexis SmartWatch is unlike any other product on the market today; it helps procurement and supply management professionals proactively monitor and identify risk beyond just a financial stress score. The comprehensive and timely intelligence provided by LexisNexis SmartWatch enables companies to protect their bottom lines and their reputations."
The way SmartWatch works is hundreds of risk events are pre-defined, scored and categorized into six "PESTLE" categories supply chain management professionals use to understand and manage supplier-specific and macro challenges associated with global sourcing. The categories include political, economic, societal, technical, legal and environmental. The product assesses not only the supplier company, but also its location and its industry, against the risk categories, providing the most comprehensive and actionable insights. Examples of unpredictable events include bankruptcies and early warnings of financial difficulties, such as layoffs, re-statements of earnings, executive moves, strikes, natural disasters, commodity shortages, product recalls, new regulations, cyber theft and counterfeit goods.