Supply chain risk management – II: A review of operational, financial and integrated approaches

Abstract

This article is a sequel to Bandaly et al (2012). Structured around the supply chain risk management (SCRM) typology and framework presented in the aforementioned article, this article provides a review on individual operational and financial risk management approaches reported in the literature. Avoidance, prevention and mitigation approaches reported are also summarized in tabular format for the four risk domains covered (internal operations, external stakeholders, marketplace and environment). The tables match the reviewed risk management approaches to various risks recognized in the literature and assign responsibilities to functional areas. The risks are clustered under different sources. Distinctions between operational and financial approaches are highlighted. A review of studies integrating both approaches is then presented. Areas for future research in SCRM are argued.