The 360° Score is available if at least 12 months of data is available
The overall score is composed of four elements:
Peer score
Alert score
Self-assessments score
External data score
The Tier N score is currently not influencing the score of the Target.
Tier N score provides an abstract overview of a target’s deeper supply chain, considering the Industry Risk and the Commodity Risk (when a supplier is associated with a commodity in Prewave). It can be used to assess critical suppliers in the Supply Chain.
The overall score changes based on the user's chosen perspective. Users can expand the event groups to view the specific event types within each selected group.
The four components of the score are defined as follows:
The Peer score (30%) consists of the Alert scores of all companies in the same industry (Industry risk) as well as the Country risk.
The only difference of the Industry risk in relation to the standard Alert score is that the timing is not taken into account. Therefore, the Industry risk is an assessment of the given industry's riskiness based on all alerts in Prewave in that industry, irrespective of when they were created.
The Country risk is not calculated based on Prewave alerts. Various publicly available indices published by international organisations such as ILO (International Labour Organization), ITUC (International Trade Union Confederation) and EPI (Environmental Performance Index) are the data source for this score.
The Alert score (40%) is calculated based on the impact and the number of alerts associated with the target in question, the timing of these alerts as well as the target's size.
Each alert has a priority that depends on the perspective. The higher the priority, the more impact an alert has on the risk score. For example, an alert with a Mid priority has a lower effect than an alert with a Critical priority.
The more alerts there are associated with a target the higher the effect on the score.
Different events impact the score for a different time, and all event impacts decay over time. A minor event's impact decays fast, whereas the decay of a major event's impact takes longer.
The alert score is normalized based on the size of the target. It is expected that more risk events happen the bigger the target, and therefore the impact of a single alert decreases with the company size.
Self-assessments (20%) completed on Prewave by a supplier. This component is optional. The overall score can be calculated without it if a supplier has not completed a self-assessment
External data (10%) provided by the Prewave user can also be considered in the risk score. External data could be for example the user's own risk assessment of a supplier. The value must be provided in a numeric format. This is an optional component of the score, and the overall score can be calculated also without external data.
Different risk components are then weighted and combined to create a single overall score. This score can be easily calculated for various perspectives.
Since different event types can have varying weights or priorities within each perspective, the score will adjust accordingly.
Underneath the score all connected alerts that have an effect on the score are listed. The alerts are listed dynamically, meaning that for example selecting only a single risk category or a time frame will result only in the related alerts to be shown.
The same will happen if you select the Peer score individually.
Hovering your mouse over a country will display a small window. Selecting the question mark (?) within this window will show relevant indices connected to the chosen group(s).
The 360° Risk Score Development shows the changes within the past 24 months. Clicking on a timeframe bar singles out the events from that period. The score will improve each month if no new alerts are created. The graph can also be used to isolate alerts that happened in any specific month
More information about the Risk Matrix can be found on the Analysis page.