1. Inventory management.
A situation in which supplier's levels of physical inventory (or stock) are insufficient to meet their customers' requirements.
Also known as a 'stock out'.
2. Service provision.
Inability of a supplier to provide an essential service.
Single point of failure
- "An outage at a key supplier caused by a cyber breach could lead to significant damage to profit and even to reputation longer term.
- Treasurers should look at third parties and partners, and ask who the business is dependent on.
- Would a single point of failure represent a significant risk?"
- The Treasurer magazine, August 2018, p13.