Which of the following is an indirect benefit of implementing risk management?

Implementing risk management in warehouse operations can lead to improved customer satisfaction as an indirect benefit. When a comprehensive risk management strategy is in place, it effectively identifies potential issues before they arise and mitigates their impact. This proactive approach can lead to smoother operations, fewer disruptions, and consistent service levels, which ultimately enhances the customer experience.

When customers consistently receive their orders on time and without errors, their satisfaction levels tend to rise, and they may develop greater loyalty to the brand. Additionally, well-managed risk can lead to a safer working environment, further contributing to positive customer perceptions and trust in the operations of the warehouse.

The other options, while potentially relevant to warehouse operations, do not reflect an indirect benefit derived from risk management practices. For instance, reducing inventory costs is a direct financial benefit rather than an improvement in the service quality perceived by customers, and increased labor costs typically would not contribute positively to customer experience. Expansion of the physical warehouse might help accommodate more products but does not necessarily relate to risk management or customer satisfaction directly.