Modelling of cluster supply network with cascading failure spread and its vulnerability analysis

Abstract

In this paper, a new entropy approach is developed to study the vulnerability of cluster supply chain network during the cascading failure spread from a holistic point of view. We use the tools of complex network theory and social network analysis to obtain the network representation of cluster supply chain system and explain its cascading phenomenon. Then we build a new cascading model for cluster supply chain network, and further introduce the concept of network load entropy, to analyse and predict the dynamic behaviours of the vulnerability during the process of failure spreading. Using a cluster supply chain network in an industrial district as a case study, we employ the modelling approach to explore its vulnerability. The simulation results demonstrate that the vulnerability of cluster supply chain network with cascading failures can be identified and predicted efficiently by using the modelling approach. In addition, this work may have practical implications for reducing the cluster supply chain network vulnerability in the cascade control and defence, then obtaining its healthy evolution.