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A framework for identification and classification of outsourcing related organizational risks in a pharmaceutical supply chain

Outsourcing supply chain activities is not simple. Yet, it allows organizations to strategically use outside vendors to perform activities that traditionally have been internal functions such as information systems, value buying and logistics in order to achieve efficiently, a higher level of product availability. The outsourcing strategy is considered, however, as a major change that may impact heavily the business competitiveness and future. In this context, organizations that are considering strategic outsourcing of supply chain activities must manage and control carefully the related risk factors in order to meet the sourcing objectives. This paper introduces a framework inspired from the Enterprise Risk Management (ERM) approach and aims to identify and classify outsourcing related organizational risks. This framework was operationalized for the case of the pharmaceutical supply chain in the public sector in Morocco.