Supply chain risk modelling and mitigation

Faisal Aqlan, Sarah S. Lam

Research output: Contribution to journalArticle

42 Citations (Scopus)

Abstract

In today's global competitive environment, supply chains are more susceptible to vulnerability due to the increasing occurrence of internal and external risk events. In addition, the trend associated with lean management, which involves reducing inventory, leads to more dependency of supply chain partners on each other which exacerbates risk exposure of companies in the supply chain. This creates the need for more effective management of supply chain risks. In this research, a methodology based on Bow-Tie analysis and optimisation techniques is proposed to quantify and mitigate supply chain risks. The proposed methodology takes into consideration risk interconnections, and it identifies the best combination of mitigation strategies under budget constraints. A real case study from a high-end server manufacturing environment is presented. Results from the case study showed that the proposed methodology for risk modelling and mitigation can effectively be used to quantify the risks and achieve the required risk reduction at minimum cost while considering risk correlations.

Original languageEnglish (US)
Pages (from-to)5640-5656
Number of pages17
JournalInternational Journal of Production Research
Volume53
Issue number18
DOIs
StatePublished - Jan 1 2015

Fingerprint

Supply chains
Modeling
Mitigation
Supply chain risk
Supply chain
Methodology
Servers
Costs
Industry

All Science Journal Classification (ASJC) codes

  • Strategy and Management
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

Cite this

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Supply chain risk modelling and mitigation. / Aqlan, Faisal; Lam, Sarah S.

In: International Journal of Production Research, Vol. 53, No. 18, 01.01.2015, p. 5640-5656.

Research output: Contribution to journalArticle

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