This past Tuesday, Los Angeles experienced a minor, at least for us Californians, earthquake that rattled some nerves but not much else. Normally, a 4.5 earthquake by itself is not particularly newsworthy except the world has seen several significant earth tremors over the past two months. Risks to the supply chain such as labor strikes, fuel shortages, failed partners and natural disasters are often discussed and just as easily ignored. What earthquakes bring in unexpected destruction is equivalent to the unpreparedness of most companies.

We talk about risks, but nothing has the potential to disrupt the supply chain more so than an earthquake due to the widespread scope and damage. A recent post highlights how extraordinary risk factors can several cripple a supply chain. For example, competitive suppliers located in the same geographic region can be knocked out by an earthquake, leaving a company with no supplier back ups in place. Think this is a far-fetched...