Analysis of risk in the value stream of supply chain management of marine fresh fish product, case of coastal zone, Java Island, Indonesia

Abstract

The length of the supply chain of marine fresh fish product from the fish auction (TPI) to end consumers combined with the logistic problem, all together have caused the complex problem in the marine fish supply chain. This study concern to the risk analysis of supply chain management of fresh fish product in accordance with ISO standard 31000:2009. In order to make a comprehensive analysis, the risk identification was identified using Value Stream Mapping (VSM). The results show that the risk of fresh fish product supply chain was mainly caused by the unnecessary processes, delay, and product defects due to improper storage process. This deficiency was mainly caused by inaccurate planning, lack of facilities, inappropriate equipment and the subject of ignoring the importance of maintaining the quality. In further, many tiers in fish supply chain suffered for quality deterioration that decreasing the price or revenue. Within this supply chain, the upstream tiers suffer for 85.24% of total risk. The effort for mitigating these risk for tier 1 (fisherman) and tier 2 (collectors) was by reducing the number of defects as much as 56.25% prior transporting, while mitigating the transaction process in the auctionable to reduce 3.15% risk potential.