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A new report has found that leading executives within the automotive industry believe a new mindset and careful planning are the keys to managing the threat of floods, earthquakes and other major natural disasters.
Researched and written by Interchange Europe, the report entitled Thailand: A Year after the Floods was published recently by just-auto.com. Following the hugely damaging Hurricane Katrina in the US, Japan's earthquake and tsunami, flooding in Thailand and the ash cloud from volcanic disturbances in Iceland, the report explains why supply chain managers within the global automotive industry must put robust contingency plans in place if they are to survive future events.
Rethinking Worldwide Procurement Strategies
The report also highlights how the fragility of the global supply chain is now forcing many leading organizations to rethink their worldwide procurement strategies. It contains revealing interviews with executives from a number of automotive companies in Thailand. These explain how they managed the 2011 floods, how normal operations resumed and how they are already planning for the next disaster.
Preparing for the Impossible
GM Thailand's Human Resources chief Samnuek Ngamtrakulchol explained: "No one was prepared for the flooding and I think that the lesson we take away from this for the future is contingency plans have to be kept fresh. You can't put them away in the drawer and think they are done because things change all the time."
His comments in the report are echoed by GM Thailand president Martin Apfel, who said the crisis needed "a new management mindset" that looked much further down the supply chain.
Pitak Pruittisarikor, Head of Honda Thailand, added: "You can't go around trying to avoid the trouble because you would be on the move every year - and the trouble will catch up in the end."
Read Thailand: A Year after the Floods for a discounted promotional price.