"With constant change, economic challenges and the havoc that events such as Gulf oil spills, natural disasters and terrorist threats can create, old models of balancing supply and demand are no longer effective."

In this edition of Smith Business Close-Up with the University of Maryland's Robert H. Smith School of Business, Sandor Boyson, research professor and co-director of the Supply Chain Management Center, discusses the new risks for today's supply chains and how organization can deal with volatility.