What you need to know about the Opito stand for safety -

What you need to know about the Opito stand for safety

Any company that thinks its supply chain is as important as its products needs to think again. And fast. The risks of sourcing products that are substandard, counterfeit or even unsafe are well known and well-known by now – just ask any brand whose reputation has been irrevocably damaged by a security scandal in recent years. Companies that source raw materials, semi-finished products and finished products from suppliers must therefore periodically audit their suppliers and develop third-party verification standards to keep an eye on potential risks. This article will give you an introduction to the Opito Standard for Safety Across Operational Value Chains (or SVOCs) – a standard based on the Occupational Health and Safety Assessment Standards for Manufacturers and Suppliers (OHSAS 18001), also known as Best Practice Operational Safety Management.

What is the Opito standard for safety?

The Operational Value Chain Security (Opito) standard was created by the International Supply Chain Security Council (ISCC) to help companies identify critical operational risks in their supply chains. The standard is a global standard for supply chain security that was developed in collaboration with the UN and the International Supply Chain Council. It is based on OHSAS 18001, the globally accepted standard for occupational health and safety management systems. The standard is used by more than 80 organizations in 16 countries, including Unilever, H&M, and other large companies. The standard covers a set of best practices for supply chain security and risk management, such as security audits, supplier training, conducting risk assessments, and mitigating operational risks.

Why is operational safety important for supply chains?

Operational security is an essential part of supply chain security. It is the process of managing operational risks across all business operations, including procurement and delivery, manufacturing, transportation, and distribution of goods. The importance of operational safety cannot be overstated. Supply chains are complex operations that involve sourcing raw materials, manufacturing semi-finished and finished products and transporting them to distribution centers and warehouses where they are then sold and delivered to customers. As you can see, there are many weaknesses in these operations that can make a company susceptible to fraud, theft, or even sabotage. Therefore, it is important for companies to have a security plan in place for all aspects of their supply chain operations.

The importance of risk assessment in supply chain security

Risk assessment is the first step in supply chain security management. Risk assessment involves identifying all the vulnerabilities in a supply chain and determining the type of risk they pose. Some of these risks may be inherent in a particular supply chain, while others may result from poor management practices. Either way, it’s important to understand the potential risks associated with a particular surgery and to mitigate them as much as possible. The types of risks that need to be assessed include:

Financial risks (e.g., money laundering, fraud, or abuse of gift or reward programs)
Reputational risks (e.g. damage to brand image or scandal)
Physical risks (e.g. theft of goods or intellectual property)
Cybersecurity risks (e.g., disruption of operations due to cyberattacks)
Legal risks (e.g. violation of laws and regulations)
Risks of supply chain disruption (e.g. unplanned disruptions to operations)

Defining “operational” in the Opito standard.

One of the biggest challenges in creating an overall standard for supply chain security is defining the terms used in the standard itself – terms such as “operational” and “supply chain”. The term “operational” is used in the standard to denote the management of the safety, health and security functions in the value chain with a focus on the design of work to prevent risks and ensure that workers are safe and secure. The standard focuses on nine functions of operational management:

Design of the work
Health and safety management
Safety management
Risk management
Crisis management
Information security
Privacy and data protection
Human resources management
Social responsibility

Key requirements of the Opito standard

Business continuity management – Businesses should have a plan in place to deal with crises, natural disasters, or other disruptions to business operations.

Integrity of business information – It is important to protect data and privacy in a digital age.

Business Partner Management – Companies need to know who they are doing business with and have a plan in place in case a business partner disrupts operations.

Design of work – Companies must ensure that their operations are set up in such a way as to minimise risks.

Health and safety management – Companies must ensure the safety of employees in all activities.

Information Security – Businesses need to protect sensitive data and ensure that it is not misused.

Privacy and data protection – Companies must ensure that customer data is handled appropriately and that privacy laws are complied with.

Risk management – Enterprises must identify and mitigate risks at every level of operations.

Supply chain management – Enterprises must have an effective plan in place to manage their supply chain.

This article has given you an introduction to the Opito standard for safety across operational value chains. It is important for companies to ensure that their supply chains are secure and that they mitigate risk as much as possible. To do this, it is important to have a safety plan in place for all aspects of supply chain operations.