Red Chili Supply Chain Risk Assessment in Jember Regency

Perusahaan Daerah Perkebeunan (PDP) Kahyangan Jember in East Java is a regional company owned by The Jember Regency Government that is engaged in the plantation business. PDP Kahyangan Jember implements supply chain management in its business, however there are still some problems in its implementation and management. Some of the issues are the quantity of ground coffee production that does not meet the targeted quantity, decreased coffee beans quality, and reduced coffee yields. These problems can be reduced using a risk management approach. This study aimed to identify the activities of the ground coffee supply chain in PDP Kahyangan Jember and its risks, to determine the level of the risks, and to develop a risk management strategy for PDP Kahyangan Jember ground coffee supply chain. This study used the House of Risk (HOR) method which consists of two phases, i.e. HOR 1 and HOR 2. HOR 1 is used to identify risks in the supply chain. HOR 2 is used to develop a strategy for handling these risks. The HOR 1 analysis results show there are 28 risk events and 33 risk sources, with 15 priority risk sources being considered in the risk management strategies preparation. The results of HOR 2 analysis show eight priority management strategies that can be implemented by PDP Kahyangan Jember.

<p><strong>In carrying out business processes in the LRT manufacturing sector, risks were discovered which resulted in disruption of the supply chain process in mitigating risks in the wiring harness supply chain. Risks are essentially events that have a negative impact on the Company's targets and strategies. Research data was collected by interviewing 3 respondents who were active employees of PT </strong><strong>XYZ</strong><strong>. Data processing uses the House of Risk (HOR) phase 1 and House of Risk (HOR) phase 2 models, and also uses several treatments such as determining the risk agent carried out by the handler and based on the highest Aggregate Risk Potential (ARP) priority value from the Pareto diagram. The results of this study show that there are 25 risk events caused by 33 causes of risk in the company's supply chain activities. Based on the Pareto diagram analysis, 80.85% priority mitigation actions were taken, of which 13 risk agents were proposed to minimize the most dominant risk causes.</strong><strong></strong></p><p><strong><em>Keywords</em></strong><em> – Supply Chain, Risk Mitigation, House of Risk.</em></p>

The increasingly fierce industry competition causes each company needs strong supply chain activities as part of the company to be able to survive in an environment full of competition. In carrying out supply chain activities, it is certainly inseparable from supply chain risks that can disrupt supply chain activities. In supply chain risk it is important to know the key risks as the risks that trigger the other risks in the supply chain. This study aims to identify the relationship of risk and mitigation to reduce the causes of the risk. The interpretive structural modeling (ISM) approach is applied to solve problems related to risk linkages and produced key risks which are the risks that most influence the occurance of other risks. The key risks obtained are then processed using the house of risk (HOR) approach to determine the priority of risk mitigation actions. ISM result obtained four key risks, namely the risk element of inputting data error when entering the number of goods and spesifications, product spesification errors desired by the customer, frequent changes in customer design requests and revisions to the design drawings. Then the result of the HOR method obtained four recommended priority mitigation actions, namely updating information on a scheduled basis, conducting briefings every day before work, coordinating and reconfirming requests for product spesifications, and implementing more strigent worker selection procedures. The linkage of the causes of risk, the validation of the ISM model statistically and the weighting of the triggered criteria are several aspects that further research is needed.

Supply chain of red chilli has not integrated and involves all actor like farmers, collectors, traders, suppliers and industry. This condition creates instability in the quality of red chilli on the market, supply availability and price fluctuations. The purpose of this research was to study the mechanisms, performance, risk mitigation and institusional analysis of the supply chain using the Van de Vorst method, SCOR-AHP method, House of Risk (HOR) and Interpretative Structural Modeling (ISM). The location of this study was in Garut District, the highest production of red chili in West Java. The supply chain mechanism was approached through four elements, namely a) supply chain structure, b) chain business processes, c) network management and chain coordination, and d) chain resources used. The supply chain performance system has five levels of hierarchy, namely goals, business processes, criteria, attribute, and performance metrices. Results showed that the supply chain performances of the red chilli at farmers, collector, suppliers, and small medium enterprise (SME) were 74.6%, 76.8 %, 82.5%, 81.9%, respectively. Risk priorities showed there were 10 at the farmer, 9 at the traders, 11 at the supplier, and 10 at the industrial stage. Information on supply chain performance is expected to enable actors in the red chili supply chain to improve coordination, integration between actors, fulfillment of production facilities, proper implementation of Good Agricultural Practices (GAP), and distribution mechanisms, so that can optimally fullfil the consumer demand and minimize yield loss to improve competitiveness in the red chili industry. Keywords : Supply chain, performance, risk mitigation, institutional analysis

Alvian MSMEs is a company engaged in printing, which serves ordering calendars, banners or billboards. The problem faced by Alvian MSMEs today is supply chain activities and production that are usually late so that products experience a decrease in buying interest from customers. To overcome these problems, MSMEs mitigate risks in supply chain and production activities using the HOR (House Of Risk) Method. Based on Hor phase 1, 12 risk events and risk agents were obtained. The identification results show that the highest risk agent is low-quality raw materials (A9). This risk agent has the highest value because it can cause risk events in the form of poor quality or defects (E9). In HOR phase 2, 6 priorities were obtained for risk mitigation to prevent system failure (PA3), implementing preventive maintenance routines is a top priority. With an ETDk value of 10386, PA3 mitigation measures can reduce risk factors such as manufacturing defects, misconceptions of customer specifications, and quality testing problems, improper maintenance, overuse, system failure, technical problems with printing machines, staff or management failures, no routine monitoring of machine checks (A11,A8,A4,A5,A7).

Supply chains play a critical role in the operational success of organizations, impacting both costs and product quality. However, they are often exposed to various risks that can disrupt business processes. This research aims to identify supply chain risks and propose mitigation strategies using the House of Risk (HOR) and Multi-Objective Optimization on the Basis of Ratio Analysis (MOORA) methods. Through interviews, key issues were identified in a fiberglass company's supply chain, including raw material supply fluctuations, procurement cost variability, defective materials, inappropriate specifications, outdated technology, insufficient worker skills, and ambitious company targets. The novelty of this study lies in the application of MOORA, which introduces a correlation matrix for risk mitigation by considering both cost minimization and benefit maximization. The analysis identified 12 risk agents and 26 risk events, which were prioritized using HOR stage 2 with the MOORA method. The top preventive actions were ranked, providing actionable recommendations for companies to address supply chain risks more effectively. The findings of this research offer practical insights for companies in the fiberglass industry to enhance supply chain resilience by integrating cost and benefit considerations into their risk management strategies.

Tobacco and its industrial products are a massive business in international trade. As a potential agro-industry, the tobacco products industry requires a supply of raw materials that must meet quantity, quality and continuity. The complexity of the tobacco supply chain network and the rapidly changing world business dynamics, pose risks in its business processes. An optimal supply chain risk mitigation or risk management strategy needs for the resilience of the tobacco supply chain in the disruption. The purpose of this study is to analyze the level of risk priority and also to formulate a risk mitigation strategy for the tobacco supply chain through a business process model approach. The method of analysis is the Delphy method and the House of Risk (HoR). The business process adopted from the SCOR (Supply Chain Operations Reference) model. The results showed: the priority level of tobacco supply chain risk is: economic uncertainty, tobacco is not available at the farm level, the location of tobacco raw materials is far from production activities, product prices have risen due to customs and product demand has increased sharply. Supply chain risk of mitigation strategies includes: increasing the flow of information in the tobacco supply chain, managing the stock/supply of tobacco raw materials and processed products, evaluating distributor selection, establishing partnerships with tobacco farmers, implementing a marketing mix strategy (product, price, location, promotion), increasing coordination with relevant governments, and management of information systems and technology.

Introduction: This research aims to identify types of risks and sources of risks, analyze risk priority levels, and formulate mitigation strategies for the tobacco products industry supply chain in Pasuruan Regency. Methods: This research was conducted at the tobacco products industry PT. XZ in Pasuruan Regency. Respondents focused on company managers (focal firms), namely product development, raw material management, research and development pilot plant and tobacco clue management who knew about supply chain risks. Supply chain network integration uses a snowball method approach. Data collection methods use primary and secondary data. At the interview stage, the Delphi method was used to identify risk events and risk sources. Furthermore, the results of the interview were identified using the Supply Chain Operation Reverence (SCOR) and House of Risk (HoR) models. Results: There are 39 risk events and risk agents in the IHT in Pasuruan Regency. There are eight risk priority levels for tobacco supply chain risk agents using the SCOR approach and the Pareto diagram, namely workers not paying attention, problems with machines, high rainfall/high rainfall, production machines need to be repaired, workers' skills are not good, production machines are old, handling bad goods, and errors in the machine. Conclusion: The results of the IHT supply chain risk mitigation strategy formulation are tightening the use of work SOPs, checking production machines regularly, strengthening information between agents and factories, checking machines every 4 hours, conducting worker training, using Google Maps technology in delivering goods, cleaning machines, maintaining product quality, drying/air-drying tobacco leaves, improving quality control during transactions with farmers, and increasing coordination with the Government.

PurposeThis study aims to comprehensively identify supply chain risks and their causes, the factors influencing supply chain management and techniques to successfully mitigate and control supply chain risks in construction projects. This study developed a comprehensive framework showing various supply chain risks and how these risks that influence project execution are systematically identified and managed for the overall construction project success.Design/methodology/approachThe research conducted was characterised by its descriptive, exploratory and quantitative nature. The collection of quantitative data was conducted by means of structured online questionnaires. The sample consisted of 205 construction project professionals who were selected randomly. This group included individuals with various roles in the construction industry, such as project managers, civil/structural engineers mechanical engineers, risk managers, architects, quantity surveyors, electrical engineers, construction managers, health, safety and environment managers, estate managers and other professionals. All participants were actively involved in construction projects located in the Gauteng province of South Africa. The data was analysed, using descriptive statistical methods, including factor analysis, reliability assessment and calculations of frequencies and percentages.FindingsThe result showed that predictable delivery, funding schedule, inventories, balanced demands, production capabilities, timely procurement, construction supply chain management coordination, delivery reliability, the proximity of suppliers, identification of supply chain risks in the conceptualisation stage of a project, identification of supply chain risks in the planning stage of a project, identification of supply chain risks in the execution stage and the reconciliation of material flows of the subcontractors with the contractors were identified as the key factors that influenced the construction supply chain management the most. The result also showed that subcontractor’s negative attitudes towards supply chain management, procurement delays, imbalanced demands, clients’ negative attitudes towards other project stakeholders, unpredictable delivery reliability, disorganised construction supply chain management approach, delayed funding, low delivery reliability, poor inventories, poor construction supply chain co-ordination, suppliers’ negative attitudes towards supply chain management and when the material flows of the subcontractors with the contractors are not reconciled were identified as the factors that have the greatest impacts on construction supply chain risks management.Research limitations/implicationsFor future research, it is recommended to incorporate fourth industrial revolution) such as machine learning prediction models and algorithms, Artificial intelligence and blockchain to identify and manage supply chain, supply chain risks and project stakeholders involved in supply chain in construction projects. Green construction or sustainable construction was not fully covered in this study. The findings will be beneficial for sustainable construction projects in developing countries for sustainability, although it did not extensively cover green buildings and related risks.Practical implicationsSupply chain risk is one of the major challenges facing the construction industry because construction projects are complex by nature involving a lot of activities and participants with different responsibilities and tasks therefore it is highly recommended to implement the proposed frameworks in this paper from the conceptualisation stage to the execution stage, carefully identifying parties involved in supply chain, supply chain management, stakeholders, tasks, activities, responsibilities and supply chain risks generated as a result of the interactions between stakeholders involved in supply chain management and coordination to realise project objectives. The findings will be a foundation for identifying and managing supply risks in sustainable buildings in developing countries.Social implicationsSupply chain management is crucial in every enterprise. Managing supply chain risks is a major aspect of risk and disaster management and this implies that supply chain excellence is achievable by building communication, trust and mutual objectives, no blame culture, performance measurement, constant improvement and partnering.Originality/valueThe implementation of construction supply chain risk management framework involves assessing the impacts of these supply chain risks on the objectives of construction projects with respect to time, cost, safety, health, environment, stakeholders, financial performance, client satisfaction and quality.

Large cardamom is a high‐value, low‐volume cash crop that is commercially important. The evaluation and selection of suppliers is a complicated and common multi‐criteria decision‐making challenge. Supplier selection becomes more difficult and unpredictable as a result of the necessity for human judgment in many areas of supplier selection, such as preferences for alternatives or supplier qualities. The objective of the study was to evaluate various large cardamom supply chains based on various supply chain quality parameters. The proposed selection strategy used fuzzy logic to identify the best acceptable supplier as well as rank the various supply chain parameters. The major steps of supply chain evaluation by fuzzy modeling involve the calculation of triplets for the score of various supply chains, calculation of triplets for the score of supply chain quality attributes, and calculation of overall membership function on a standard fuzzy scale. The results revealed that the proposed fuzzy logic method was well suited as a decision‐making tool for supplier evaluation. The assessment of various supply chains showed that the best supply chain management method included material moving from producers to consumers through aggregators, commission agents, wholesalers, and retailers. Comparing the overall similarity values of each chosen supply chain, customer satisfaction was ranked top among the quality attributes of the supply chain, followed by external and internal support, internal performance, and strategic and operational coordination. Consumers monitoring the performance of the supply chain can assist in information acquisition, influence the behavior of supply chain participants, and enhance overall performance.Practical applicationSelecting a suitable large cardamom supply chain would provide a solution for regulating the flow of products and information across the supply chain network. Implementing fuzzy logic for preferred supplier selection has a significant impact on the financial perspective. In the fuzzy logic for a large cardamom supply chain, fuzzy sets or membership functions were employed to express input space to output space. Fuzzification was used to transform a vector of crisp input data acquired from a study of a large cardamom supply chain into a vector of equivalent input language variables. The fuzzy output variables are defuzzified in the defuzzification process, and the fuzzy variables are turned into crisp values or crisp output vectors.

Over the last decade, Australia has experienced several severe natural disasters which have caused significant disruptions to its agri-food supply chains. Global climate change is driving an increase in the frequency and intensity of extreme weather events that can lead to natural disasters. The Intergovernmental Panel on Climate Change (IPCC) warns that climate change - and extreme weather events, in particular - pose significant threats to food security. While much food security research focusses on developing nations, contemporary, supermarket-based food systems have a number of characteristics that make them highly vulnerable to disruptions from extreme weather events. The experience of recent disasters and projections of on-going climate change suggest that Australia’s food systems are facing escalating climate risks to which they must adapt. This thesis considers how the agri-food supply chains that underpin Australia’s food system are enabled or constrained to cope with emerging climate risks and, in particular, to a more rapid recurrence of damaging weather events. In this thesis, supply chains are conceptualized as social institutions and identified as a key location in the food system for decision-making regarding the management of climate risks. The empirical focus of the research is national-scale fresh produce supply chains based on vegetables produced in south-east Queensland’s Lockyer and Fassifern Valleys. These supply chains have been affected by a series of severe weather events and natural disasters since 2011. The study applies qualitative methods to draw insights from supply chain actors regarding: the impacts of recent severe weather events; perceptions of these events and future climate risks; the ways in which climate risks are governed in the supply chain; and what responses have occurred following recent events. The analysis is informed by theoretical perspectives from the social sciences, in particular the social construction of risk, risk governance and resilience. The thesis aims to advance recent conceptualisations of food system resilience and proposes a set of attributes that would enable a capacity for resilience to climate risks and natural disasters within agri-food supply chains. The results of the study demonstrate that the impacts of recent natural disasters were unevenly distributed within the supply chain. Upstream segments of the chain (that is, business involved in vegetable production, packing and transport) experienced more significant impacts and longer recovery periods than downstream segments (such as wholesalers and retailers). The study finds that this is strongly linked to an uneven distribution of vulnerability to risks in the chain which, combined with the rapid recurrence of disaster events, has weakened the fresh produce supply system. The study provides important insights into perceptions, and social constructions, of recent weather events and climate risks amongst actors within fresh produce supply chains – addressing a significant gap in the literature. The results suggest that a shared narrative about Australia’s highly variable climate strongly influences a collective construction amongst supply chain actors which normalises and attenuates climate risk. The study finds, however, that recent extreme weather events have unsettled this dominant construct. Perceptions of future climate risks amongst supply chain actors were varied. Those strongly influenced by the climate variability narrative did not expect future risks to be much different from those experienced in the past. A smaller number of research participants, however, were concerned that climate risks may be escalating and that this may require changes to how those risks were managed. The study found two strongly contrasting approaches to the governance of climate risk in fresh produce supply chains. The findings demonstrate that, typically, climate risks are governed in highly individualised ways but that the emergence of new supply chain intermediaries is facilitating a more collective approach to climate risk governance in some chains. The research also shows that recent recurrent floods have catalysed a number of supply chain actors to pursue changes that improve their capacity to more effectively manage climate risks. Those most motivated to make adaptations were found to be involved in supply chains characterised by individualised governance of climate risks. The thesis concludes by considering what the findings suggest about the prospects for cultivating resilience to escalating climate risks in supply chains and the implications for food security in Australia. The study finds that while a collaborative approach to risk governance is emerging in some cases, there are significant constraints to cultivating climate change resilience in fresh produce supply chains in Australia – and that this adds to known threats to our national food security. The research suggests, however, that adopting a risk governance perspective could help to engage a wider set of social actors, particularly governments and consumers, in the process of improving supply chain and food system resilience in the face of climate change.

This study aims to mitigate risks in supply chain activities in tuna products during the Covid-19 pandemic. Method used in this research is House of Risk (HOR) approach by identifying each business process activity based on the Supply Chain Operation Reference (SCOR) model. House of Risk (HOR) offers a framework for controlling risk effectively in managing risk from risk agents. Aggregate Risk Potential (ARP) is used to determine the priority of risk sources that need to be done in designing a mitigation strategy. The results of the study identified 32 risk events and 52 risk agents. House of Risk (HOR) phase 1 shows that 11 Risk Agents will be prioritized for handling based on the highest ARP value, which further proposes 16 possible mitigation strategies. Based on the value of Effectiveness to Difficulty (ETD) from the House of Risk (HOR) phase 2, 12 mitigation strategy measures were taken from 16 proposed strategies that would be used to prevent risk causes.

PT.X is a company engaged in lubricant manufacturing. Based on the results of field studies, several risks hinder the company's supply chain process, and PT.X has never conducted a risk assessment. Therefore, risk analysis and mitigation are needed to minimize the risks that arise in the company's supply chain. This research uses the Supply Chain Operation Reference (SCOR) model to map the company's supply chain activities and the House of Risk (HOR) method to identify risks in the supply chain, including risk events, risk agents, and their correlations. The results reveal a total of 32 risk events and 26 risk agents. Then, a Pareto diagram calculation is conducted, identifying 3 priority risk agents that need to be addressed: supplier inability to provide raw materials, lack of work supervision, and inadequate workforce competence. From these 3 priority risk agents, 8 risk mitigation measures have been determined: evaluating supplier performance, establishing contracts with suppliers, planning alternative supplier selection, conducting periodic supervision, establishing company standard operating procedures, providing skills training and work discipline, recruiting workers more selectively and rigorously, and placing workers according to their expertise.

Supply chain activity has an opportunity for the occurrence of risk. Therefore, risk management is needed in the handling of risk with the aim to minimize the risk level and impact of those risks. PT. XYZ of PT Pupuk Indonesia (Persero) engaged in the fertilizer industry. The main product produced is urea fertilizer. In the production process, the factory is supported by adequate production facilities and international standard technology. Currently, PT XYZ does not yet have risk management which explicitly discusses the proposed risk management along with the handling strategies required by the company. By looking at the current condition of the company, in order to achieve the goals to be achieved the company needs a good supply chain planning such as by identifying the risks that exist in the supply chain and preventive measures. Performed risk analysis and evaluation of potential supply chain companies using HOR (House Of Risk) tools. After the research there were 42 risk events and 42 risk agents. With the 80/20 pareto approach, 9 risk agents are planned for mitigation action. There are 11 recommended risk mitigation actions recommended to the company in the hope of addressing the risk of urea fertilizer supply chain.

This research studied PT XYZ, a company engaged in the palm oil industry which has eleven subsidiaries spread across five provinces in Indonesia, namely North Kalimantan, West Kalimantan, East Kalimantan, Central Kalimantan, and South Sumatra. The research focused on analyzing supply chain risks in PT A, a subsidiary of PT XYZ.. The objective was to find out and reduce unexpected costs that the company may experience caused by the risks in supply chain. Furthermore, the aim was to determine priority of risk agents and risk mitigation actions. The research method was a mixed methods, which combined both qualitative and quantitative analysis to answer the research questions. Data analysis procedure involved Supply Chain Operations Reference (SCOR), House of Risk (HOR) 1 and Analytic Network Process (ANP). The SCOR method was used for mapping supply chain activities, the HOR 1 was to determine the priority of the risk agent, and the ANP was to determine the priority of mitigation actions. The results show that there are 36 risk events and 35 risk agents. 19 risk agents are categorized as priority risks and 11 preventive actions are proposed to be implemented by PT XYZ. The research suggests that the company implement mitigation actions according to priority in accordance with the research results, for example, by improving the condition of the main garden road.