Abstract

Sustainable supply chain management can be a new strategy in the industry, especially in the furniture sector. In its implementation, different sources of risk factors emerge because the nature of the supply chain is too complex, causing supply and demand uncertainty for production. The furniture industry needs to implement supply chain risk management to overcome problems and cause a loss of trust from customers. This study aims to identify and manage supply chain risks in the furniture industry using the Supply Chain Risk Management Process (SCRMP) and COBIT 5 methods. After identifying the risk, the risk impact measurement uses the COBIT 5 method with the Deliver, Service, and Support (DSS) domain implemented into the decision support system. To find out changes after system implementation, the author conducts a risk assessment according to the COBIT 5 standard and evaluates the possibility of a risk occurring. The result of this study is a mapping of the handling of negative scenarios of risk after implementing the system that includes governance standards and input data to produce output documentation. Documents are applied to the decision support system to reduce risks in the supply chain. The SCRMP and COBIT 5 methods can manage supply chain risk more effectively. It guides the risk assessment area and provides information technology governance to the system. The implication of future research is to define standard operating procedure documentation for the application of decision support systems in all divisions of the furniture industry.

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