Managing the Risk of Value Chain Outage(s) Discussion Question

Describe what would happen to a company’s value chain if all electronic devices and systems suddenly were unavailable and an expected time for resolution time is unknown. How might a company prepare for and manage the risk associated with potential outages? Could a value chain be maintained without electronics and technology to support it? If so, how?

a. The response should use first person perspective.

b. Compose a response of at least four paragraphs of 4–5 sentences per paragraph.

c. No references are required for this Unit 5 Discussion, but if you do use source material, apply no more than one APA formatted reference and citation per paragraph and use APA in-text citation within the response and list the applied reference(s) at the end of the response using APA formatting.


Technology is becoming an inevitable aspect of value chain management in today’s business environment. As competition increases and the market becomes more globalized, business processes become even more complex. Thus, firms have developed innovative technologies to ensure collaboration and linkages across departments. However, business processes can be hindered by value chain outages, including the failure of computer systems and electronic systems.

If this happens, the company may lose crucial information needed in decision making. The company may also run behind schedule in various business operations, leading to delays and errors in the value chain. As a result, the value chain management and business operations in general will become less effective and inefficient. Costs might increase, and productivity will decrease.

Therefore, risk management steps are needed to address the problem. The first step to manage risks is by identifying potential risks and preparing for them in advance. For example, the company may anticipate system failure, which is common in any electronic system. Then the management should develop strategies to avoid or mitigate such risks, or at least reduce their impact. This can be done by preparing people to work offline through an alternative ecosystem made of human relationships, processes, and systems. Lastly, the company should have a flexible electronic system that can adapt to changing business needs.

A value chain be maintained without electronics and technology to support it. This is possible if people are prepared for effective collaboration and coordination of activities. A clear structure should be put in place where systems and processes are articulated, and each member of the organization understands their duties and responsibilities. If the system is workable and stable, the value chain can work effectively without the use of an electronic system in place.

2 thoughts on “Managing the Risk of Value Chain Outage(s) Discussion Question

Leave a Reply