• Industrial Engineering and Management Systems
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• v.12 no.2
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• pp.103-111
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• 2013

This paper discusses how to manage supply chain disruption risks from natural disasters or other low-likelihood-high-impact risk drivers. After the catastrophic earthquake in Eastern Japan and the severe flood in Thailand, most companies have been attempting to re-establish the business continuity plan to prevent their supply chain from disruption. However, the challenges for managers and individual risks are often interrelated, and thus, actions that mitigate one risk can end up being no contribution as a whole. In this paper, we describe a framework for assessing how much impact individual mitigation strategies have on the entire supply chain protection against disruption, using network reliability. We propose three categories of risk-mitigation approaches: Stabilization, Absorption, and Duplication. We analyze the situation under which each of these strategies is the best suitable. With a clear understanding of relations between these mitigation strategies and the entire supply chain risks, managers can select effective risk-reduction approaches to their supply chain.

• Journal of Navigation and Port Research
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• v.37 no.6
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• pp.709-718
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• 2013

In this study, AHP analysis was conducted through a survey that was organized by 9 job categories. The results show that sustainable operation risks have the highest priority level among all criteria with management interest having the highest priority level within sustainable operation risks related attributes. The most important risk attributes among stakeholder risks appeared to be asset security and cargo and conveyance security, with education and training being the most important among regulatory risks. Effective management and response to the risks from export controls on strategic trade require an understanding of supply chain security and compliance programs, effective training programs, investments for development of security systems that meet international standards. In addition, the government needs to focus on developing professionals and providing support for companies with compliance programs, working closely with businesses.

• Journal of the Korean Operations Research and Management Science Society
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• v.42 no.2
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• pp.19-34
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• 2017

In this study, we develop an optimal sourcing strategy considering compensation orders to mitigate the supply chain disruption risks. We considered two-echelon supply chain consisting of a single buyer and multiple suppliers who have fixed transaction cost and probabilistic disruption risks. Under this setting, we provide the joint optimization method to determine the number of suppliers and the order quantities. Through numerical examples, we provide managerial implications on the sourcing strategy by investigating changes in the order quantities and the number of suppliers due to the degree of supply chain disruption risks.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.40 no.4
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• pp.112-119
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• 2017

Selecting suppliers in the global supply chain is the very difficult and complicated decision making problem particularly due to the various types of supply risk in addition to the uncertain performance of the potential suppliers. This paper proposes a multi-phase decision making model for supplier selection under supply risks in global supply chains. In the first phase, the model suggests supplier selection solutions suitable to a given condition of decision making using a rule-based expert system. The expert system consists of a knowledge base of supplier selection solutions and an "if-then" rule-based inference engine. The knowledge base contains information about options and their consistency for seven characteristics of 20 supplier selection solutions chosen from articles published in SCIE journals since 2010. In the second phase, the model computes the potential suppliers' general performance indices using a technique for order preference by similarity to ideal solution (TOPSIS) based on their scores obtained by applying the suggested solutions. In the third phase, the model computes their risk indices using a TOPSIS based on their historical and predicted scores obtained by applying a risk evaluation algorithm. The evaluation algorithm deals with seven types of supply risk that significantly affect supplier's performance and eventually influence buyer's production plan. In the fourth phase, the model selects Pareto optimal suppliers based on their general performance and risk indices. An example demonstrates the implementation of the proposed model. The proposed model provides supply chain managers with a practical tool to effectively select best suppliers while considering supply risks as well as the general performance.

• Industrial Engineering and Management Systems
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• v.13 no.2
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• pp.154-162
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• 2014

Effects of food scandals on religious belief, human health and even on causes of death indicate that firms and consumers are vulnerable to integrity risks in the global supply chain. Mitigating the integrity risk and maintaining the credence quality products like halal food is very challenging, if not impossible. Our aim in this research is to show that supply chain integration can mitigate the halal food integrity risk. To illustrate this idea, we have conducted case studies and interviews in seven Malaysian chicken supply chain focal firms. We unpack the halal integrity risks along the supply chain, such as production risk, raw material risk, food security risk, outsourcing practices risk, service risk, and logistics risk. The research argues that supply chain integration, such as internal integration and external integration practices, could minimize the halal integrity risk. The advantages of supply chain integration in mitigating the halal integrity risk are also highlighted in this paper.

• Journal of Korea Port Economic Association
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• v.39 no.2
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• pp.25-39
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• 2023

As the scope of supply chains expands globally, unpredictable risks continue to arise. The occurrence of these supply chain risks affects port cargo throughput and hinders port operation. In order to examine the impact of global supply chain risks on port container throughput, this study conducted an empirical analysis on the impact of variables such as the Global Supply Chain Pressure Index (GSCPI), Shanghai Container Freight Index (SCFI), Industrial Production Index, and Retail Sales Index on port traffic using the vector autoregressive(VAR) model. As a result of the analysis, the rise in GSCPI causes a short-term decrease in the throughput of Busan Port, but after a certain point, it acts as a factor increasing the throughput and affects it in the form of a wave. In addition, the industrial production index and the retail sales index were found to have no statistically significant effect on the throughput of Busan Port. In the case of SCFI, the effect was almost similar to that of GSCPI. The results of this study reveal how risks affect port cargo throughput in a situation where supply chain risks are gradually increasing, providing many implications for establishing port operation policies for future supply chain risks.

• Journal of Navigation and Port Research
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• v.36 no.4
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• pp.321-327
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• 2012

Logistics in a supply chain network has become an important operational strategy in a competitive market. A number of internal and external risks involved in the logistics operations in a company tend to create problems in fulfilling customer orders. This research presents how ERM (enterprise risk management) can be used to identify, assess, and control logistics risks. An electronic company's logistics activities were used as an industry case to demonstrate a way to identify and assess risks surrounding global logistics function. This paper has further presented action plans to mitigate the impact of the risks that occur.

• Journal of Distribution Science
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• v.19 no.11
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• pp.59-68
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• 2021

Purpose: The Covid-19 pandemic has had excessively severe impacts on all the nodes and edges of any supply chain due to changes in consumer behaviours and lockdown restrictions from governments among countries. This article aims to provide a simulating experiment on how a supply chain deals with supply disruption risks by flexibility in the inventory level of each sector as a buffer considering the overall cost to fulfil demand in the market. Research design, data and methodology: Agent-based simulation techniques are used to determine the cost-efficiency and customer waiting time related to varying inventory levels of each member in the supply chain when using inventory buffers. Findings: This study has shown that any sudden changes in the inventory level of each sector are likely to impact the rest of the supply chain. Among all sectors, the wholesaler will be impacted more severely than others. Also, the manufacturing sector is the most suitable node to adjust inventory depending on its manufacturing ability. Conclusion: The findings of the study provide insightful implications for decision-makers to adjust inventory levels and policymakers to maintain manufacturing activities in the context of the pandemic restrictions to deal with the excessive demand and potential supply disruption risks.

• Proceedings of the Korean Institute of Navigation and Port Research Conference
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• 2022.06a
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• pp.201-203
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• 2022

Increasing global market of used electric vehicle (EV) battery encourages international firms to establish its subsidiary companies or business units specializing in battery recycling. Such kind of companies predominantly use closed loop supply chain (CLSC) for their operations of battery manufacturing and used battery recycling/reusing in global scale. However, EV battery recycling, as a relatively new industry, makes its global CLSC be exposed to various types of risks, which leads to inefficiency of supply processes and makes supply chains more complicated and vulnerable. Identifying, evaluating, and analyzing possible risks in CLSC has a great importance for optimization and increasing effectiveness for the global supply chain of used EV battery. Itwill assist to elaborate the efficient CLSC management and possible risk mitigation strategies to keep the global EV battery supply chain resilient and sustainable. This study aims to develop a conceptual framework for risk assessment in this new sector. Therefore, it will populate the framework with possible failure modes identified from various literature on EV battery recycling and closed loop supply chains so that future research can validate and utilize the conceptual framework.

• Journal of Korea Society of Industrial Information Systems
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• v.28 no.4
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• pp.77-92
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• 2023

In this study, keyword network analysis was performed based on global and domestic journals, and network text analysis was conducted for news and articles to examine major issues and research trends on supply chain risks after COVID-19. As a result of analyzing the supply chain risk, after COVID-19 which was relatively insufficient in previous studies, research trends and topics such as supply chain risk recovery, response and public welfare, which are different from previous previous studies, were found in global and domestic journals, news and articles and it was possible to suggest practical strategies and insights for supply chain risk strategies for firms.