An extended framework for supply chain risk management: incorporating the complexities of emerging industries and large-scale systems

Abstract

Over the last two decades, firms, governmental agencies, and non-governmental organisations have sought improved understanding of supply chain management and supply chain risk. Much supply chain risk research has been in large and mature industries such as automotive, aerospace, and energy production. Yet, additional supply chain risk areas are of concern to executives, including emerging industries, emerging supply chains, governmental agencies, quasi-governmental agencies, non-governmental agencies, and large-scale systems engineering projects that cope with complex technical challenges and multi-year development cycles. Through involvement with commercial and governmental research partners, we developed an extended and more generalised framework of supply chain risk that categorises dimensions of SCR and highlights the complexity that must be addressed by organisations. Key findings include that academics must address the complexity that firms face rather than assume simpler risk models, and that firms need additional academic thought leadership for developing improved approaches to manage supply chain risk.