Supply chain risk management – I: Conceptualization, framework and planning process

Abstract

Supply chain risk management (SCRM) is an emerging interdisciplinary area of research crossing over operations management, finance and marketing, among other disciplines. The conceptualization of SCRM is examined with reference to previous studies on risk identification, risk assessment, supply chain vulnerabilities, characteristics of supply chains as enablers of risk management and risk management approaches. An SCRM framework is next developed based on taxonomies defined for risk events and risk management approaches. In line with this framework, a risk management planning process is then proposed to help users navigate through a logical sequence of reasoning to establish a comprehensive risk management strategy. Finally, an example is provided to illustrate the use of this planning process.