Improve Supply Chain Visibility While Avoiding A Bad Purchase

Choosing the right supply chain risk management software can feel overwhelming. I see several RFPs every week from companies trying to buy the right supply chain risk management solution. The most difficult part of the process is educating yourself on what's available and avoiding the hyperbolic promises that seem to be everywhere. The market is full of options that promise supply chain visibility, compliance, and risk reduction—but not all solutions are created equal. The wrong choice can leave you with data gaps, limited insights, and costly blind spots. The right choice, on the other hand, will give you confidence, efficiency, and the ability to stay ahead of regulatory and reputational risks.

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So here are five tips to remember when buying supply chain risk software:

1. Go Beyond Tier 1 Visibility

True supply chain visibility means seeing past your direct (tier 1) suppliers. Real supply chain risk often hides deeper—tier 2, tier 3, and raw material sourcing. Choose software that can map multiple tiers and give you insight into labor practices, environmental impact, and geopolitical risks. Without deeper visibility, your risk strategy will always be incomplete. Ask providers to show how they map supply chains. If the answer is ‘we send questionnaires to your suppliers’ then you will probably not get what you are looking for.

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2. Start With the End in Mind

Before investing in supply chain risk tools, define your ultimate end state. Is the goal stronger compliance reporting, supplier transparency, or full-spectrum supply chain visibility? Have you come up with any initial clear KPI’s? With a clear roadmap, you can identify software that aligns with your long-term strategy instead of patching short-term problems. The best platforms help you build resilience, not just check a compliance box. There is no perfect solution just like there are no perfect supply chains. So don't chase perfect, chase progress. 

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3. Insist on Actionable Data, Not Just Scores

Supply chain data without action is just a tree falling in the woods with no one to hear it. Data requires action to be valuable. Risk scores alone won’t reduce supply chain risk. Look for software that goes further—offering actionable insights, prioritized alerts, and workflow tools that enable your team to respond quickly. This turns data into decisions and visibility into measurable impact. Otherwise, you risk investing in dashboards that look good but don’t change outcomes.

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4. Ask Yourself: Do We Really Need More Questionnaires?

Many supply chain risk solutions rely almost entirely on questionnaires. While supplier self-reporting can be useful, it rarely delivers total risk coverage. Response rates are often low, answers can be incomplete, and they don’t always reflect real-world conditions. Instead, look for a solution that blends questionnaires with independent data, analytics, and monitoring—so your supply chain visibility isn’t limited to what suppliers choose to tell you. Questionnaires and audits are lagging indicators and can only tell you what has already happened. You need to know what may happen so your firm can take steps to avoid loss.

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5. Look for Continuous Monitoring, Not One-Time Checks

Supply chains are dynamic. Risks change with new suppliers, shifting regulations, or global events. A one-time audit isn’t enough. Effective supply chain risk software should provide ongoing monitoring with real-time alerts, giving you continuous visibility into emerging risks and allowing your team to act proactively rather than reactively. Make sure your solution offers leading indicators.

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Last Thoughts

Investing in supply chain risk software is not just about compliance—it’s about achieving true supply chain visibility and building resilience against disruption. Proactive risk reduction allows your company to take risks and flourish. That's your job! By going beyond tier 1, starting with the end in mind, demanding actionable insights, questioning questionnaire-heavy solutions, and prioritizing continuous monitoring, you’ll choose a platform that drives real business impact.

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For more information on how to run a Supply Chain Visibility RFP go here.

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To speak to a supply chain visibility expert go here.

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