Risk is generally viewed as potential harm from unforeseen events. Risks will always be present in all operations because we do not know exactly what will happen in the future. Therefore, risks have to be properly managed, because ignoring them will only leave organization vulnerable to risky events. The nature and broad complexity of supply chains makes organizations that are a part of it vulnerable to different kinds of risk. Risks are transmitted throughout the chain, through large number of links between members of supply chain. Therefore, small events can grow into major consequences while moving through supply chain. Risks can be external and internal to the supply chain. External risks are outside managers' control, and internal are under managers' control. Supply Chain Risk Management can be defined as a set of strategies used by organizations so they can avoid disruptions within supply chain which can be caused by damage in manufacturing facilities, natural disasters, capacity issues, incorrect forecasts and delays. The overall aim of Supply Chain Risk Management is to ensure uninterrupted flows of materials. The main steps in Supply Chain Risk Managements are identification, analysis and design of responses.