A contextual approach to supply chain risk mitigation

Purpose: The purpose of this case study is to develop and framework supply chain characteristics and risk mitigation strategies in the context of biodiesel downstream supply chain.Design/methodology/approach: This study employs an expert interview-based approach as a qualitative approach with a multi-perspectives view.Findings: There are vary strategies among perspectives, such as perspectives of organization and business types, stakeholder types, times and methods. These also shows that business strategy of collaborative, coordinative, and cooperative arise as alternative strategies for each perspective and each level of stakeholder. Those business strategies may apply in a vary operation strategies which linking through an energy security framework element as company’s competitive priorities.Research limitations/implications: The research scope includes only a certain area of the country’s territory and the target company’s supply chain areas of activity. The research method includes only internal stakeholders and experts as respondents and data sources. The level of analysis was only at corporate level in the corporate case study context. The research also targets only a downstream activities of biodiesel supply chain context. The interview-based approach as a qualitative approach faces some subjectivity challenges among respondents.Practical implications: The research result provides some positive implications for business practice, includes how to minimize the impact of supply chain risk on company’s business activities and performance, how supply chain experts and practitioners used risk mitigation practices, how to formulate strategic plans to minimize the impact of supply chain risk and enhance the effectivity and sustainability of the supply chain activities.Social implications: The implication for business practice was that company’s leaders implemented supply chain risk mitigation strategies that provide positive impacts on the more valuable relationship among supply chain actors and stakeholders.Originality/value: The first, is an activities areas and operation schemes-based of biodiesel supply chain point of view. The second, is a multi-perspectives-based biodiesel supply chain characteristics framework. The third, is an energy security framework-based biodiesel risk mitigation strategies framework.

PT. VUB is engaged in construction manufacturing which is under the auspices of PT. Semen Indonesia Beton which will then be sent to retailers or distributors throughout Indonesia. The problem faced today is that companies often experience out of stock due to the fluctuating number of requests and inappropriate raw material planning that hampers the production process. This study aims to identify risky activity factors, plan appropriate strategies to minimize risk factors that occur in the company and provide solutions that can improve supply chain performance. The method used in supply chain risk mitigation at PT. VUB BM plant Pandaan is Fine-Kinney which aims to expose the value of risk factors based on the level of impact of the severity of the risk, and the solution uses the Anaytical Hierarchy Process (AHP) method as a determinant of the weight of risk mitigation strategies in the supply chain. From the results of risk identification at PT. VUB BM Pandaan was found that the highest risk occurred in the variable lack of K3 implementation in the production process with a risk rating value of 420 which has a very high risk factor because it can cause work accidents to employees. And the results of risk analysis with the criteria of raw material suppliers, production processes and distributors using the AHP method obtained 7 alternative supply chain risk mitigation strategies. With this research, it is hoped that it can help companies to reduce the risk of the company's supply chain.

: The purpose of this research was to improve defense supply chain risk management processes through better intelligence integration. To this end, this research sought to capture the present state of academic and Department of Defense (DoD) thought regarding supply chain resiliency and risk management through an extensive review of current academic and DoD literature regarding supply chain risk management and intelligence doctrine. This review established the importance of supply chain risk analysis to ensuring supply chain resiliency and identified a significant gap in DoD acquisitions policy and guidance regarding intelligence support to supply chain risk analysis. This research culminated in the development of a methodology for intelligence professionals to use to support supply chain risk management processes. Specifically, this paper provides analysts a methodology to provide intelligence support to risk analysis for United States Air Force (USAF) weapon system supply chains based on the Intelligence Preparation of the Operational Environment process established in Joint doctrine. While the methodology developed in this paper is targeted at USAF weapon system supply chains, it is readily adaptable to other DoD acquisitions program supply chains. Additionally, this paper provides recommendations for future research to further improve intelligence support to supply chain risk management.

Supply chain (SC) risk management (SCRM) is a high-level concern for SC professionals. Supply chain risk management implementation is a difficult task because it requires involvement of various firms across the SC. For effective SCRM implementation, managers need to know the enabling factors and their relative importance. In this research, an empirical study on SC risk mitigation enablers was carried out in Indian automotive industry to examine the relationship between SCRM enablers and SCRM implementation. This relationship was tested using discriminant analysis. The research shows that the most important enabler is information visibility and it is followed by incentives alignment. Contingency planning is the third-most important enabler and last is risk management governance (RMG). Success of the SCRM implementation in terms of its efficiency and effectiveness can be assured by following the sequence of SCRM enablers suggested in this research.

The beef and red meat sector in Australia is undergoing rapid change because of globalization, a highly competitive beef and red meat market (local and export). Risk management in the Australian beef and red meat supply chain has become increasingly important as companies both large and small seek to extend their global reach. It is important to manage these supply chain risks. The purpose of the conceptual paper is to present a framework for managing supply chain risk in the Australian beef and red meat industry. The supply chain risk management strategy is critical and significant to strategically support the supply chain and business success in the long run. However, little research has been conducted in the industry so far. Based on the resource-based view (RBV) approach, the firms’ capability is considered as effective tools for mitigating the supply chain risk in the real operational environment. The paper identified major types of supply chain risks in the red meat industry. The conceptual framework focuses on the relationships among the firms’ capabilities and supply chain risks. This provides insights into the supply chain risk management. Although, the study focuses on the Australian red meat industry, the proposed framework can be validated with an empirical work in different sectors. Moreover, this paper contributes to the supply chain risk management literature.

The rapid development of technology has enabled companies to integrate internal and external partners working together in the supply chain network. Supply chain integration allows fast information to facilitate real-time and reliable decision-making. This study investigates the role of supply chain integration on firm performance through adopting lean manufacturing, green supply chain management, and risk management. The study surveyed manufacturing companies implementing ISO 14000 to represent green supply chain management and integrated information technology as a form of integration. The questionnaires were distributed using a Google form, and 93 valid responses were obtained. Data analysis employed a partial least square approach with SmartPLS software 4.1 version. The data processing results found that supply chain integration increased lean manufacturing by 0.684, green supply chain management by 0.451, and supply chain risk management by 0.333. Lean manufacturing companies using a continuous process control system and process improvements significantly improve green supply chain management by a path coefficient of 0.477, supply chain risk management by 0.206, and firm performance by 0.370. Green supply chain management significantly impacts supply chain risk management by a coefficient of 0.416 and firm performance by 0.189. Supply chain risk management with a system for detecting operational process risks and emergency procedures in overcoming changes in customer orders affects the increase in firm performance by 0.354. The practical contribution of research provides insight for practitioners to invest in information technology and adopt ISO 14000 implementation. Theoretical contributions in developing resources-based view theory in adopting green supply chain management and lean manufacturing.

Background: Operational performance faces many challenges in the production of tin especially for Indonesia as the global market leader. Optimization of its operational performance by bolstering its supply chain integration such as customer integration in downstream processes and integration internally is a big challenge with the lack of smelter though it has been catalyzed by Indonesian government regulation. Additionally, supply chain risk management has been considered important globally to the sustainability and environmental awareness of a tin company related to its operational performance and supply chain integration.Purpose: This research aims to investigate how internal integration and customer integration, mediated by supply chain risk management, affect operational performance in a tin mining company. Design/methodology/approach: Employing a quantitative associative design and proportionate stratified random sampling method used in this study. Data from 47 employees from seven divisions of a tin company in Indonesia were collected and analyzed using PLS-SEM analysis on SMART PLS 3.29 software. Findings/Result: Results indicate a significant positive relationship between customer integration and operational performance, mediated by supply chain risk management. Contrary to expectations, internal integration did not significantly influence operational performance, either directly or indirectly.Originality/value (State of the art): These findings contribute to the evolving body of knowledge on supply chain integration by highlighting the critical role of customer-centric approaches in enhancing operational effectiveness within the tin mining sector. For practical implication, Effective collaboration, knowledge sharing, and understanding customer needs are key factors in achieving success in supply chain management. Keywords: customer integration, internal integration, supply chain, risk management, operational performance

Based on analyzing the characteristics of supply chain risk management under the influences of knowledge, in this paper integrates basic theories and methods of knowledge management into the process of risk management, builds a knowledge-oriented supply chain risk management system model, and proposes relevant strategies, presenting references for practical application of knowledge-oriented supply chain risk management. By means of acquiring, storing, sharing, and transferring supply chain risk knowledge and knowledge innovation, it can ensure the knowledge supply for the whole process of supply chain operation management and risk management, effectively blocking the evolution and transmission of risks in supply chain, realizing the added value of activities in supply chain, and improving the performance of supply chain.

This study aimed to identify, determine and formulate the mitigation strategies of shallot supply chain risk using Fuzzy FMEA and AHP. Risk identification was performed on shallot supply chain actors include farmers (suppliers), tengkulak (distributors) and pengecer (retailers). Fuzzy FMEA was used as a tool to measure the risks identified priorities. AHP was used as a tool for determining the weighting strategies in supply chain risk mitigation strategies. Research showed that there were some risks identified on the perpetrators of the supply chain in terms of supply and demand. Risk priorities for supply chain farmers (suppliers) were risks associated with government policies that were policies related to shallot imports, the risk priority of middlemen (distributors) supply chain was risks associated with shallot imports competition, and the risk priority of retailers supply chain was a risk for competitor with other retailers. There were six alternative mitigation strategies, and the highest priority was choosing the right varieties, followed by a partnership, improve the promotion, maintain quality, maintain price stability, and maintain supplies. Keywords: AHP, Fuzzy FMEA, Risk Management, Shallot.

This article investigates the current developments in research and practices in the domain of Supply Chain Risk Management (SCRM) through a systematic and typological approach in order to improve the understanding of SCRM field. This field has created a strong scientific and professional polemic, resulting in an exponential growth of published research work, reports and article. However, it has been discussed that SCRM lacks typological approach by several authors underlining this fact through their frameworks. In response, this review examines various perceptions, notions, definitions, drivers and sources of Supply Chain Risk (SCR), in order to identify major SCRM frameworks. This analysis is required in order to identify the main issues that needed to be addressed in the field of SCRM. Thus, the objective of this paper is to classify these frameworks so as to identify news issues, opportunities and directions for further study and researches.

Is supply chain risk mitigation affected by organisational design? The roles of organic structures and cultures

Adequate transportation and administration of products and resources across borders are crucial in the logistics industry, particularly in locations such as the China-Pakistan Economic Corridor (CPEC). However, other hazards are associated with this, including global disputes, geopolitical tensions, trade battles, natural catastrophes, terrorist threats, and security breaches, all of which can disrupt the supply chain. These hazards highlight the need for robust supply chain risk management (SCRM) strategies to ensure the seamless distribution of products and services in the face of adversity. To address these challenges, this study examines the impact of customer relationships (CR) on supply chain risk management in the CPEC logistics sector. A survey conducted across various transportation and logistics firms' sites obtained data from 500 staff members. After removing 50 partial replies, 450 total responses were considered. The information also includes reactions for operational supply chain risk management (OSCRM), organization performance (OP), strategic supply chain risk management (SSCRM), and customer relationship (CR). To evaluate the respondents of the survey questionnaire using the Likert scale. Partial least squares structural equation modeling (PLS-SEM) is utilized to validate the hypothesis, which is used for statistical analysis, validation of structural models, and measurement models. The measurement model established the measure's validity and reliability, while other approaches demonstrated discriminant validity. The structural model is employed to identify the significant relationships between CR and SCRM in the logistics sector. The findings emphasize CR's importance in managing the supply chain's inherent constraints, contributing to CPEC's sustainability. Overall, this research attempts to enhance understanding of the complex relationship between CR and SCRM in the dynamic world of global logistics. Doi: 10.28991/CEJ-2024-010-06-010 Full Text: PDF

Uncertainty and supply chain risk: The moderating role of supply chain flexibility in risk mitigation

Today’s supply chains (SC) are immersed in extremely dynamic environments, and supply chain management (SCM) has to deal with a multitude of risks. The domain of supply chain risk management (SCRM) has emerged, providing approaches on how to cope with risks in SC. However, due to increased complexity, volatility, and uncertainty, the number of risks in global SC has increased significantly. Harnessing the power of predictive analytics (PA), implemented in intelligent decision support systems (IDSS), offers huge potential in SCRM. However, research at the intersection of the domains of SCRM, PA, and IDSS is still in its infancy, and several research gaps have yet to be addressed. The paper elaborates on these research gaps by means of a systematic literature review. The results include a set of seven research questions and proposed research directions for future studies. Future research is presented with a plethora of starting points, which originate from the business perspective (i.e., the SCRM domain), the data-driven (i.e., the PA domain) as well as an IT-system perspective (i.e., the IDSS domain).KeywordsSupply chain managementPredictive analyticsSupply chain risk managementDecision support

Nowadays business world requires more collaboration along supply chains in order to sustain production, optimize cost structure and speed up delivery. The growing inter twist among supply chainpartners causesnumerous risks whose impacting magnitude and scope are larger than ever before. The risks are not just limited in operations any more but further extend to relationships related aspects. It demonstrates new features that we think should deserve careful investigation. Although supply chain risks and partnerships are great concerns in both academics and industry, the existing literature seldom links them together, and it echoesinadequately upon the new situations happened in the past decade. As such, this research project is made with ambition to improve the understanding of risks in the context of today’s collaborative supply chains where interorganizational linkages are strengthened through partnerships.
\nThe research project contains three studies. They constitute an integrated series subjected to the overall research objective. The first study starts with concept building and fundamental notion rethinking of risks in supply chains. We conceptualize supply chain risks into a general form in which risks are integrated into a system capable to reflect the correlation and chain effect among them. Through analytical inference and simulation it is found that the level of collaboration of partners contributes to the resilience of supply chains. It implies that partnerships can positively affect the integration of supply chain risk system, thus enhancing supply chain operations by improved ability in fault recovery.In the following two studies we are concerned with the impacts of different types of risks in supply chains upon companies’ operational performance given the effect of partnerships. The pre risk event effect and post risk event effect of partnerships are investigated in study two and study three respectively. The second study uses survey to research practitioners’ view on the role of supply chain risks and partnerships in supply chain performance. The validated sample of 162 responses reveals that the depth of partnerships imposes the most significant impact on supply chain risks and the collaboration risks are considered the top risk type that can influence supply chain performance to the most extent. The third study focuses on the negative consequence brought to the companies by supply chain risks when they have been realized. Event study is employed as the research methodology to identify and analyzethe effects of different risks under different partnerships. With respect to impact analysis, relationship risks are shown to cause the most significant loss to firm value. Moreover, deeper partnerships are found to have more negative impact on firm value resulted from relationship risks.
\nThis research project could contribute to the supply chain risk management literature by furthering the understanding of the important role of supply chain risks in enhancing the company’svalue and operational performance. The findings uncover the crucialrelationship between partnerships and supply chain risks, offering a novel view from a risk perspective to explain why an increasing number of supply chain companies are consciously engaged in partnerships nowadays. They may confer academicians and industrial practitioners with some new insights for risk management in supply chains and encouragefuture research in this area.