Risk Management in End-to-End Global Supply Chain

Abstract

The purpose of this paper is to show an analysis of cargo movement risk from foreign point of origin to domestic destination through global supply chain risk management practices. After investigating the vulnerability of global supply chains in general and examining key nodes of supply chain risks, the impact of global supply chain risk management performance is tested. In particular, two different approaches are represented to deal with supply chain risks, i.e. reactive and preventive supply chain risk management. The analyses reveal that companies with a high implementation degree show a better global supply chain performance. Furthermore, instruments for dealing with supply chain risks are investigated. The results show that the group using reactive supply chain risk management has higher average value in terms of disruptions resilience, or the reduction of the bullwhip effect; whereas the group pursuing preventive global supply chain risk management has better values regarding flexibility.