Integrated Cost and Risk Management Enhancing Supply Chain Resilience

Abstract

AbstractGiven the increasingly intensive competition between global markets, competition between companies has shifted from a focus on the performance of companies to supply chain performance. As a business becomes more international, there is a growing need for managing supply chain disruptions from a cross-national perspective. In general, supply chains are faced with increasing possibilities and severity of disruption. Furthermore, disruption management is complex as disruptions may happen due to various types and sources of risks. Trade facilitators, such as air, road and maritime transportation, will disrupt the flow of supply chains when a hazard occurs. This is categorized as transportation disruption. The paper aims to examine the existing strategies which are in place for the purpose of enhancing resilience to transportation disruptions in supply chains. Based on the major limitations of these strategies identified, the study also aims to develop an original approach to address the limitations. This paper introduces an integrated cost and risk management approach for enhancing resilience. The study contributes to the field of risk management by recommending an approach that can enhance supply chain resilience and at the same time being cost-effective.KeywordsSupply chainResilienceRisk managementCost managementTransportation disruptionPandemic