Mitigate Supply Chain Research Articles

Selecting Capabilities to Mitigate Supply Chain Resilience Barriers for an Industry 4.0 Manufacturing Company: An AHP-Fuzzy Topsis Approach

The aim of study is to prioritize resilient capabilities required for an Industry 4.0 manufacturing business. These capabilities are prioritized considering the barriers faced by their supply chains in becoming resilient. After the review of literature and discussion with experts from the case company and other supply chain professionals, the barriers and resilient capabilities were shortlisted. The study utilized a hybrid of AHP-fuzzy TOPSIS technique to provide weights to the criteria variables (here barriers) and rank the alternatives (here resilient capabilities). Five criteria of barriers were identified for the purpose of the study, namely, strategic barriers, technological barriers, cultural barriers, individual barriers, and organizational barriers. Twenty-three subcriteria were identified for these barriers. Six capabilities were decided upon to be prioritized out of which planning capabilities were obtained to be the most important followed by collaborative, agile, supply chain design modification capability, interoperability, and supply flexibility. The study attempts to fill the gap identified in the literature regarding the lack of studies on supply chain resilience barriers. It therefore provides a realistic framework to prioritize the resilience capabilities required for mitigating such barriers.

Modeling and mitigating supply chain disruptions as a bilevel network flow problem

Years of globalization, outsourcing and cost cutting have increased supply chain vulnerability calling for more effective risk mitigation strategies. In our research, we analyze supply chain disruptions in a production setting. Using a bilevel optimization framework, we minimize the total production cost for a manufacturer interested in finding optimal disruption mitigation strategies. The problem constitutes a convex network flow program under a chance constraint bounding the manufacturer’s regrets in disrupted scenarios. Thus, in contrast to standard bilevel optimization schemes with two decision-makers, a leader and a follower, our model searches for the optimal production plan of a manufacturer in view of a reduction in the sequence of his own scenario-specific regrets. Defined as the difference in costs of a reactive plan, which considers the disruption as unknown until it occurs, and a benchmark anticipative plan, which predicts the disruption in the beginning of the planning horizon, the regrets allow measurement of the impact of scenario-specific production strategies on the manufacturer’s total cost. For an efficient solution of the problem, we employ generalized Benders decomposition and develop customized feasibility cuts. In the managerial section, we discuss the implications for the risk-adjusted production and observe that the regrets of long disruptions are reduced in our mitigation strategy at the cost of shorter disruptions, whose regrets typically stay far below the risk threshold. This allows a decrease of the production cost under rare but high-impact disruption scenarios.

Supply chains and COVID-19: impact on Jordan’s, countermeasures and post-COVID-19 era

The objective of this paper is to assess existing information on the COVID-19 pandemic's impact on Jordan's supply chain and countermeasures adopted by businesses to mitigate supply chain interruptions. Many effects have been felt in the supply chain industry. The study will explain how travel restrictions have reduced international trade which has also affected Jordan’s supply chain. Global business leaders may use information from this study in making necessary decisions relating to trade activities in the country. It will assess Impacts of COVID 19 in the supply chain Industry in Jordan particularly the impacts of supply chain on demand, on logistics, manufacturing, and finally on people. A series of economic implications and research options are provided based on these results.

Mitigating Supply Chain Disruptions, Risks, and Vulnerabilities

Mitigating Supply Chain Disruptions, Risks, and Vulnerabilities

Supply chain ambidexterity and performance under uncertainty: The case of inter-island logistics in Indonesia

This study investigated the impact of supply chain ambidexterity on supply chain performance (SCP) under uncertainties. The dynamic capability theory of firms was adopted in the supply chain to design a research framework that recommends a supply chain strategy under uncertainties pertaining to inter-island logistics in Indonesia. This study involved the survey of 140 large-scale companies delivering products across the Indonesian islands to identify the supply chain uncertainties by analyzing data using SmartPLS. The supply chain ambidexterity (SAM) was identified to exhibit no direct correlation with SCP; however, agile supply chain (ASC) and lean supply chain (LSC) could indirectly relate the SAM and SCP. For supply chain professionals, the results indicated that SCP cannot be achieved solely through SAM, thereby necessitating the development of LSCs and/or ASCs, driven from SAM, to achieve SCP. Thus, this study empirically confirmed ASC and LSC to be effective practices for mitigating supply chain uncertainties by mediating supply chain ambidexterity on SCP.

The Role of Corporate Board Diversity in Mitigating Supply Chain Disruptions: The Impact of Foreign Nationals

The Role of Corporate Board Diversity in Mitigating Supply Chain Disruptions: The Impact of Foreign Nationals

Evaluating the Case for Reduced Precious Metal Catalysts in Proton Exchange Membrane Electrolyzers

Proton exchange membrane (PEM) water electrolyzers are a key technology in decarbonizing hydrogen production. Though the market for PEM electrolyzer systems is growing, there are concerns that the cost and availability of precious metal catalysts utilized in today’s commercial systems can limit deployment. Herein, we show that while the availability of Ir should not impede deployment in the near term, the inelasticity of the Ir commodity price is cause for immediate concern. We emphasize that diversifying catalyst materials, even with other precious metals, can reduce system costs and mitigate supply chain risk. Furthermore, we analyze the trade-offs between catalyst capital cost and catalyst activity for a range of operating conditions (i.e., capacity factor, electricity price). The framework presented herein is a first step toward establishing performance targets (i.e., activity, stability, material cost) for reduced precious metal and non-precious metal catalysts as a function of PEM electrolyzer operating conditions.

Assessing the role of vanadium technologies in decarbonizing hard-to-abate sectors and enabling the energy transition

SummaryThe decarbonization of heavy industry and the emergence of renewable energy technologies are inextricably linked to access to mineral resources. As such, there is an urgent need to develop benchmarked assessments of the role of critical elements in reducing greenhouse gas emissions. Here, we explore the role of vanadium in decarbonizing construction by serving as a microalloying element and enabling the energy transition as the primary component of flow batteries used for grid-level storage. We estimate that vanadium has enabled an avoided environmental burden totaling 185 million metric tons of CO2 on an annual basis. A granular analysis estimates savings for China and the European Union at 1.15% and 0.18% of their respective emissions, respectively. Our results highlight the role of critical metals in developing low-carbon infrastructure while underscoring the need for holistic assessments to inform policy interventions that mitigate supply chain risks.

Influence of Supply Chain Risk Factors on the Price of Petroleum Products among Oil Marketing Companies in Kenya

Purpose: The purpose of the study is to investigate the influence of supply chain risk factors on the price of petroleum products among Oil Marketing Companies (OMCs) in Kenya with a view of making recommendations on mitigating supply chain risk factors.
 Methodology: This research study adopted both descriptive and inferential statistics where data collected from 159 respondents using questionnaires is analysed and fitted into multiple regression model. The qualitative data generated was analysed by use of Statistical Package of Social Sciences (SPSS) version 22.Structured and semi structured questionnaires were used to collect data. Data gathered from the questionnaires administered was analyzed by the help of Ms Excel and SPSS version 22, while output was presented inform of frequency tables and charts.
 
 Results and conclusion: The findings of the study demonstrated that supply chain risk factors i.e. that transportation and delivery, inbound cost fluctuations and geo-politics have a positive relationship with price of petroleum products among Oil Marketing Companies (OMCs). However, the coefficient of determination (R2 = 0.6.) revealed that only 60% of variations in the price of petroleum product could be attributed to the supply chain risk factors under investigation. The remaining 40% is attributed to other variables that were not examined in this study. In Conclusion, the price of petroleum products among oil marketing companies can be influenced by transportation and delivery, inbound cost fluctuations and geo-politics
 Policy recommendation: Finally, the study recommended that Oil marketing companies to develop sophisticated supply chain risk management systems in order become less vulnerable to shocks and disruptions; and reduce exposure.

The Consumption‐Based Carbon Emissions in the Jing‐Jin‐Ji Urban Agglomeration Over China's Economic Transition

AbstractSince the 2008 financial crisis, China has been undergoing an economic transition consisting of prioritizing green economic and sustainable development instead of rapid growth driven by large‐scale investment. However, there is still a lack of fine print on how subregional effort can contribute to national or full supply chain mitigation plans, especially downscaling to the city level. To bridge this knowledge gap, we selected Jing‐Jin‐Ji urban agglomeration, one of the economic centers but also featured by intensive emission for decades, to analyze the emission variance and driving forces from 2012 to 2015 as a case study. Based on the consumption accounting framework, the carbon emissions of Jing‐Jin‐Ji have decreased by 11.7 Mt CO2 in total over the study period, and most cities showed the similar descending trend. The driving forces show that the emission intensity and production structure have largely reduced Jing‐Jin‐Ji's total due to measurements of economic transition. For instance, Beijing has decreased by 28.7 Mt of emission reduction which led by declined emission intensity. By contrast, per capita demands and growth of its population were the primary forces to increase emissions. To conclude, although the mitigation achievement is undeniable, we should also note that the economic transition has not changed the uneven pattern of selected urban agglomeration so far.

Effect of Supply Chain Resilience on Organizational Performance through Knowledge Sharing

Supply chain mitigation strategies have not received much attention from researchers and practitioners on how to manage the supply chain risk in the turbulent business environment. There is little awareness and understanding in supply chain risk management literature on the concept of supply chain resilience (SCR). SCR has been emphasized throughout the past decade, and organizations are aware of its influence on organizational performance. As a result, SCR is essential as it influences organizational performance. The literature indicates that a lack of SCR negatively affects organizational performance. However, the literature does not theorize and provide theoretical evidence on how SCR affects organizational performance with the help of knowledge sharing. This study aims to examine the influence of SCR on organizational performance with the effect of knowledge sharing. Research questions include: 1 How SCR contributes to organizational performance? 2 Does knowledge sharing influence organizational performance? 3. How does knowledge sharing affect the relationship between SCR and organizational performance? This study, based on available literature, will present the research model of how SCR affects organizational performance. Examples of small case studies will also include for better understanding. This study will also provide some important pieces theoretical and practical implications.

Risk and Supply Chain Mitigation Analysis Using House of Risk Method and Analytical Network Process (A Case Study on Palm Oil Company)

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.

Big Data in Supply Chains- Achieving Supply Chain Innovation Through Capabilities

Big data has revolutionized the industry and has become an important source of competitive advantage and firm performance. In order to be able to leverage big data to achieve higher innovation in the supply chain, a number of complementary resources are essential to achieve the competitive advantage of the incumbent firm. We propose that supply chain innovation is dependent on firm’s big data analytics capabilities and this relationship is mediated by supply chain ambidexterity mitigating capabilities (agility and adaptability) and moderated by technology uncertainty. The data collected from 300 manufacturing firms operating in Pakistan confirm our hypotheses. Based on the results, it is suggested that both types of capabilities necessary for mitigating supply chain ambidexterity are critical for firms to realize better innovation in the supply chain. Furthermore, technology uncertainty moderates the relationship between big data analytic capabilities and supply chain innovation. This study extends the current literature on the importance of digital technologies especially big data analytics capabilities in improving the innovation outcomes of supply chains. This study confirms that big data projects may yield positive outcomes, if supply chain ambidexterity is mitigated through building capabilities of supply chain agility and supply chain adaptability and that uncertainties in technologies surrounding manufacturing firms further strengthen this relationship.

Supply Chain Risks and Roles of the Strategy of Green Supply Chain Management Practices

Supply chain risk is one of the factors disrupting the performance of an organisation. Furthermore, supply chain risk does not only affect economic performance but will also disrupt environmental performance. The focus of this paper is to explore the relationship between supply chain risks, the role of green supply chain management practices, and organisational performance. In particular, the originality of this paper is it is reviewing the role of green supply chain management practices as a strategy for organisations in order to mitigate supply chain risk and improve organisational performance. Efforts have been made in order to study the connection between supply chain risks, green supply chain management practices, and organisational performance since there is still a lack of studies focus on the roles of the strategy of green supply chain management practices.

Exploring the role of artificial intelligence in managing agricultural supply chain risk to counter the impacts of the COVID-19 pandemic

PurposeIn India, artificial intelligence (AI) application in supply chain management (SCM) is still in a stage of infancy. Therefore, this article aims to study the factors affecting artificial intelligence adoption and validate AI’s influence on supply chain risk mitigation (SCRM).Design/methodology/approachThis study explores the effect of factors based on the technology, organization and environment (TOE) framework and three other factors, including supply chain integration (SCI), information sharing (IS) and process factors (PF) on AI adoption. Data for the survey were collected from 297 respondents from Indian agro-industries, and structural equation modeling (SEM) was used for testing the proposed hypotheses.FindingsThis study’s findings show that process factors, information sharing, and supply chain integration (SCI) play an essential role in influencing AI adoption, and AI positively influences SCRM. The technological, organizational and environmental factors have a nonsignificant negative relation with artificial intelligence.Originality/valueThis study provides an insight to researchers, academicians, policymakers, innovative project handlers, technology service providers, and managers to better understand the role of AI adoption and the importance of AI in mitigating supply chain risks caused by disruptions like the COVID-19 pandemic.

Improving supply chain resilience through industry 4.0: A systematic literature review under the impressions of the COVID-19 pandemic

The COVID-19 pandemic is one of the most severe supply chain disruptions in history and has challenged practitioners and scholars to improve the resilience of supply chains. Recent technological progress, especially industry 4.0, indicates promising possibilities to mitigate supply chain risks such as the COVID-19 pandemic. However, the literature lacks a comprehensive analysis of the link between industry 4.0 and supply chain resilience. To close this research gap, we present evidence from a systematic literature review, including 62 papers from high-quality journals. Based on a categorization of industry 4.0 enabler technologies and supply chain resilience antecedents, we introduce a holistic framework depicting the relationship between both areas while exploring the current state-of-the-art. To verify industry 4.0’s resilience opportunities in a severe supply chain disruption, we apply our framework to a use case, the COVID-19-affected automotive industry. Overall, our results reveal that big data analytics is particularly suitable for improving supply chain resilience, while other industry 4.0 enabler technologies, including additive manufacturing and cyber-physical systems, still lack proof of effectiveness. Moreover, we demonstrate that visibility and velocity are the resilience antecedents that benefit most from industry 4.0 implementation. We also establish that industry 4.0 holistically supports pre-disruption resilience measures, enabling more effective proactive risk management. Both research and practice can benefit from this study. While scholars may analyze resilience potentials of under-explored enabler technologies, practitioners can use our findings to guide industry 4.0 investment decisions.

Deploying Resilience Enablers to Mitigate Risks in Sustainable Fashion Supply Chains

The complex structure of supply chains makes them vulnerable to risk, so enhancing their resilience is an important goal. In particular, fashion supply chain research has identified two important issues that need to be addressed: sustainability and risk. However, investigation of these issues is relatively sparse and has primarily been independent with little combinatory research. Therefore, it is crucial to develop a risk mitigation method that can maximize the resilience of sustainable supply chains for fashion companies. The objective of this study is to develop an integrated quality function deployment approach and to mitigate supply chain risk by deploying resilience capabilities and resilience-enhancing features, thus ultimately providing the fashion industry with a useful approach for the development of resilient, sustainable supply chains. Using a fashion company as an example, the practicability of the proposed approach is verified. To strengthen resilience and thus mitigate key risks, it is found that the most urgent tasks are to reallocate the company’s resources, to carry out the real-time monitoring of risk on the spot, to share the risk responsibility, and to establish an incentive system. When these features are strengthened, agility and adaptability can be improved, and finally, the risks of supplier delays, natural disasters, political instability, and problematic supplier materials with the greatest impact can be alleviated. This study provides a new strategy for the fashion industry for the implementation of resilient, sustainable supply chains to mitigate risks.

Potential for Nd and Dy Recovery from End-of-Life Products to Meet Future Electric Vehicle Demand in the U.S.

Rare earth elements (REEs) such as Neodymium (Nd) and Dysprosium (Dy) are used in Rare Earth Permanent Magnets (REPMs). Neodymium-iron-boron (NdFeB) magnets offer the strongest magnetic field per volume among all the magnets available in the market, which enables lightweight and compact product designs. NdFeB magnets have thus become indispensable in emerging clean technologies such as wind turbines and electric vehicles (EVs). Global demand for these renewables is increasing due to environmental considerations, energy security, and consumer demand. However, China’s dominance in REE production and processing technology has led to concerns pertaining to supply chain risks. This is especially the case for the automotive industry that is experiencing a major shift from traditional internal combustion engines to EVs that employ these REPMs. The number of EVs on U.S. roads is projected to reach more than 18 million in 2030 up from 1.4 million in 2019. In order to mitigate supply chain brittleness, and thereby potentially reduce price volatility, secondary REE supply sources from end-of-life (EoL) products may be a viable option. This study quantifies the recycling potential of Nd and Dy from EoL EVs, HDDs and MRIs in the U.S. Factors used in the analysis were number of units manufactured each year, NdFeB magnet mass in each unit and REE composition of magnets employed. Using EV production forecasts, we estimate how much of the future Nd and Dy demands can be met by secondary supply from EoL products.

I-SCRAM: A Framework for IoT Supply Chain Risk Analysis and Mitigation Decisions

Supply chain security is becoming an important factor in security risk analysis for modern information and communication technology (ICT) systems. As Internet of Things (IoT) devices proliferate and get adopted into critical infrastructure, the role of suppliers in risk assessment becomes all the more significant. IoT security risks are affected by supplier trust since suppliers possess the capacity to modify black box systems without detection. The risks posed by potentially malicious or compromised suppliers are compounded by interdependence among suppliers. In this paper, we propose I-SCRAM, a framework to analyze supply chain risks in IoT systems and to support risk mitigating decisions. After defining an expanded system model that consists of interconnected components and a hierarchy of component vendors, we develop and propose metrics to quantify systemic risks. Finally, we present a decision framework that helps in selection of vendors to mitigate supply chain risk. Through a case study and simulation, we show that I-SCRAM successfully minimizes system risk as higher budget and more reliable component sources become available, while allowing flexibility in prioritizing sources of risk.

A Study on Global Supply Chain Risk Management Strategies Under COVID 19

기업의 경영활동이 글로벌화되고 적시생산체제(JIT)로 운영되면서 공급사슬이 복잡해졌으며, 이로 인해 다양하고 심각한 위험에 노출되고 있다. 위험관리를 어떻게 수행하느냐는 위험의 발생을 억제할 뿐만 아니라 이로 인한 피해를 최소화하는데 중요한 역할을 하게 된다. 따라서 위험요인에 대한 분석과 전략방안을 규명하는 것은 기업의 경쟁력에 핵심요소가 될 것이다. 본 연구는 공급사슬위험의 분야별 위험요인의 중요도를 도출하고 요인별 선호 전략과의 관계를 규명하는 데 목적이 있다. 이를 위한 연구방법은 계층분석(AHP)방법과 중요도-성과(IPA) 분석법을 활용하였다. 분석결과 공급사슬위험요인의 분야로 수요와 공급부문의 위험요인이 가장 중요한 것으로 나타났다. 위험요인에 대한 경감전략에서 기업들은 수요의 변동성, 법률과 정책변화, 각종재해 등과 같은 기업이 통제하기 어려운 분야는 수용전략을 활용하는 반면 통제가 가능한 요소인 재고부족, IT시스템 장애 등은 감소전략을, 그리고 상대기업의 문제에서 비롯된 요인에 대하여는 전가전략을 활용하는 것으로 나타났다.Purpose : This study aims to identify risk factors for each sector of the supply chain the relationship between risk factors and preferred strategies. Research design, data, methodology : IBM SPSS 25.0 was used for demographic analysis of questionnaire data, descriptive statistics analysis and IPA analysis were conducted to compare the importance and preferences of the businesses and expert groups. Further, AHP analysis was conducted to understand the relative risk importance of factors for mitigating supply chain risk by employing the Expert Choice 11 statistical program. Results : The risk factors in the supply and demand sectors are crucial. In the mitigation strategy to reduce risk, it was found that companies follow acceptance strategies in areas that are difficult to control, such as volatility in demand, changes in laws and policies, and natural disasters. On the contrary, companies tend to use a reduction strategy for controllable factors such as inventory shortages and IT system failures, and imputation strategies for factors arising from problems with business partners. Conclusions : Companies show a high tendency to use risk mitigation strategies considering the possibilities and interests that they can control for various supply chain risks. This suggests that companies eventually prefer or use strategies that are consistent with the ultimate purpose of the business.