Supply Chain Risk Management Strategies Research Articles

Leveraging advanced technologies in Supply Chain Risk Management (SCRM) to mitigate healthcare disruptions: A comprehensive review

The Healthcare sector is undeniably one of the most critical sectors in any given economy and disruptions in this industry have dire consequences that affect patient care, the efficiency of healthcare systems and by far public health. This publication seeks to analyze and discuss the vital role of supply chain risk management in addressing disruptions, becoming resilient and ensuring that healthcare services function effectively. The pandemic (COVID-19) brought to fore just how critical it is to have a robust and agile system for supply chain risk management in healthcare, the sudden and unprecedented surge in demand for essential medical equipment like personal protective equipment (PPE) left millions of people at risk thereby jeopardizing their safety and health. This crisis echoed the urgent need for efficient and effective supply chain risk management strategies to mitigate such risks and ensure the availability of vital medical supplies. This review paper will be sharing different strategies and actionable tips to develop contingency plans, identify, reduce potential disruptions and recommended practices for risk management in the healthcare supply chain. This will highlight key areas such as inventory management and stockpiling, which focuses on maintaining safety stock levels to buffer against sudden disruptions, using advanced analytics to forecast demand and manage inventory levels. It will also examine risk assessment and identification by pinpointing potential attacks, threats, and vulnerabilities within the healthcare supply chain through thorough risk assessments. Additionally, it will cover supplier base diversification, emphasizing the importance of engaging multiple suppliers to reduce dependency on a single source and enhance supply chain resilience by balancing global and local suppliers to mitigate geographic disruption risks. Furthermore, it will explore the integration of technology, leveraging innovative solutions like blockchain for enhanced transparency, security, and traceability of supply chain transactions.

Supply Chain Risk Management Strategies in the Era of Digital Intelligence Integration: Strategies and Insights

Supply Chain Risk Management Strategies in the Era of Digital Intelligence Integration: Strategies and Insights

Supply Chain Risk Management Assessment and Strategy: Case Study in a Hospital Pharmacy

Health service providers such as hospitals have a very diverse supply chain in quantity and type, one of which is medicine. Hospital Pharmacy Installation (IFRS) is one of the health support activity units responsible for planning, procurement, management, storage, distribution, use of drugs, equipment, and pharmaceutical services for medical devices related to the distribution of drugs used in hospitals. Pharmacy has several risks that need to be addressed to increase customer satisfaction. This study aims to determine the extent of the implementation of Supply Chain Risk Management, identify risks in supply chain activities, and obtain risk management strategies. In this study, the method used is the assessment of Supply Chain Risk Management and continued the evaluation of the drug chain in pharmaceutical installations with the House of Risk. It is divided into two stages, namely House of Risk Stage 1, which is used to decide the risk in each supply chain, and House of Risk Stage 2, to offers a decision-making strategy for each chosen decision. There are 20 risk events and 20 risk agents in the House of Risk stage 1, and 11 proposed risk management strategies in the House of Risk stage 2. Out of 20 risks identified in stage 1, 11 risks contributed to 80% highest risk, and the top three are drug shortage, inappropriate planning, and unclear doctor’s writing. In stage 2, the three most prioritized strategies are e-prescription implementation, clear signs for LASA drugs, and conducting supplier performance evaluation.

INTEGRATING SUPPLY CHAIN RISK MANAGEMENT TECHNOLOGY INTO ENTERPRISE MANAGEMENT SYSTEM

In today's globalized business landscape, enterprises face increasing reliance on intricate supply chains to deliver goods and services efficiently. However, this interconnectedness exposes organizations to diverse risks, exacerbated by factors like natural disasters, geopolitical tensions, and technological vulnerabilities. The COVID-19 pandemic further emphasized the vulnerability of supply chains, prompting the urgent need for robust risk management strategies. Interstate conflicts also significantly influence supply chain risks, posing challenges such as trade disruptions and security vulnerabilities. To mitigate these risks, enterprises must adopt proactive risk management strategies, enhance supply chain resilience, and leverage technology-enabled solutions for real-time monitoring and response. 
 The study examines supply chain risk management (SCRM) practices in healthcare establishments in Algeria and Ukraine, comparing countries with differing healthcare systems. The research aims to identify disparities in SCRM approaches and their consequences. Results reveal that while both countries prioritize technology for predictive analysis, Algerian managers emphasize collaboration with other institutions. 
 The study suggests integrating SCRM technology into enterprise management system, prioritizing advanced technological solutions, scenario planning, collaborative partnerships, comprehensive risk management plans, continuous monitoring, and strengthening supplier relationships to enhance supply chain resilience and continuity in healthcare service delivery. These findings underscore the importance of efficient SCRM strategies in mitigating supply chain disruptions and ensuring uninterrupted healthcare services. By implementing these strategic measures, healthcare establishments can enhance their SCRM capabilities, thus promoting resilience, efficiency, and continuity in healthcare service delivery across diverse healthcare systems.

Optimizing Supply Chain Risk Management: A Case Study of Pharmaceutical Humanwell Healthcare

Supply chain risk management is an important area that enterprises in globalized competition must address. Effective supply chain risk management not only helps to ensure production and delivery stability but also improves competitiveness. As an internationalized enterprise, Humanwell Healthcare faces diversified risks from various links in the supply chain. This study aims to explore Humanwell Healthcares supply chain risk management strategy to improve its ability to identify, assess and respond to supply chain risks. Through comprehensive literature analysis and case studies, this study will provide an in-depth analysis of Humanwell Healthcares supply chain risk characteristics and propose corresponding management methods and tools. The study results show that Humanwell Healthcare can effectively reduce and control supply chain risks and improve its overall business performance by establishing an effective risk identification mechanism, strengthening the cooperative relationship with suppliers, and adopting appropriate insurance measures. This study provides useful reference and inspiration for other supply chain risk management enterprises.

EFFECT OF SUPPLY CHAIN RESILIENCE STRATEGIES ON THE PERFORMANCE OF FLORICULTURAL FIRMS IN KENYA

The floriculture industry encounters diverse, ever new and high frequency challenges, which if not well managed will cause business closure, great losses and recovery challenges. In Kenya, floricultural firms are exposed to varied disruptions, bottlenecks and delays in their supply chain ecosystem, and this was worsened by the global Covid-19 pandemic. It is therefore crucial for firms to employ the right resilience strategies to prepare for such disruptions in responding and recovering faster to continue operating and improve performance. However whether, how and which resilience strategies affect performance in floricultural firms is a topic that remain under-explored. Using the Complex Adaptive System, Relational, Contingency and Agency theories together with the empirical literature, the study sheds light on the relationship between resilience strategies and firm performance. The specific objectives were to establish: the effects of supply chain collaboration, flexibility, agility and risk management strategies on the performance of floricultural firms in Nakuru County, Kenya. The study adopted descriptive and correlation research design. Target population was 101 flower firms. Primary data was collected using questionnaires. Using SPSS, descriptive and inferential statistics were carried out using ordinal multiple regression and correlation analysis. The study findings will guide the various businesses that are rethinking their business model and finding solutions to survive business disruptions affecting supply chains, by providing information on how to develop the right resilience strategies to deal with unforeseen disruptions and improve their performance. KEY WORDS: Supply Chain Collaboration, Supply Chain Flexibility, Supply Chain Agility, Supply Chain Risk Management, Performance Kenya.

Supply Chain Risk Management: Moroccan Pharmaceutical Sector Case

Pharmaceutical systems are care settings characterized by the wide range of activities and scenarios with which they would be challenged. This causes interactions that result in unexpected scenarios associated with a variety of dangers such as variations in demand, risks associated with supplier relationships, and so on…. As a result, risk management appears to be a major issue for decision-makers. Today supply chain management needs to be dynamic and responsive to create added value, and mitigates these risks by using flexibility strategies to respond to change while remaining competitive. The goal of this research is to look into the supply and demand strategies used by pharmaceutical companies to respond to disruptions and avoid medicine interruptions for consumers. In this thesis the supply chain risk management strategies are basically connected to an empirical study done in 32 Moroccan pharmaceutical enterprises. Following that, the participants’ responses were based on a questionnaire structured through the literature seeks to bring more detailed information about these strategies. Accordingly, the results showed that Moroccan pharmaceutical firms focus on some crucial activities such as supplier selection, flexible control, supplier control, vendor verification, and inventory management to account for supply and demand risk.
 Empirical studies in the field of pharmaceutical risk management are rare. Thus, the goal of this work is address the scarcity of empirical studies in this field by outlining several key risk management strategies used by pharmaceutical supply chain laboratories in the context of Morocco which are putting more resources into these vital strategies. Most of the supply and demand techniques of these firms are found to be proactive .

Supply chain risk management strategies in normal and abnormal times: policymakers' role in reducing generic medicine shortages

PurposeThis paper links supply chain risk management to medicine supply chains to explore the role of policymakers in employing supply chain risk management strategies (SCRMS) to reduce generic medicine shortages.Design/methodology/approachUsing secondary data supplemented with primary data, the authors map and compare seven countries' SCRMS for handling shortage risks in their paracetamol supply chains before and during the first two waves of the COVID-19 pandemic.FindingsConsistent with recent research, the study finds that policymakers had implemented few SCRMS specifically for responding to disruptions caused by COVID-19. However, shortages were largely avoided since multiple strategies for coping with business-as-usual disruptions had been implemented prior to the pandemic. The authors did find that SCRMS implemented during COVID-19 were not always aligned with those implemented pre-pandemic. The authors also found that policymakers played both direct and indirect roles.Research limitations/implicationsCombining longitudinal secondary data with interviews sheds light on how, regardless of the level of preparedness during normal times, SCRMS can be leveraged to avert shortages in abnormal times. However, the problem is highly complex, which warrants further research.Practical implicationsSupply chain professionals and policymakers in the healthcare sector can use the findings when developing preparedness and response plans.Social implicationsThe insights developed can help policymakers improve the availability of high-volume generic medicines in (ab)normal times.Originality/valueThe authors contribute to prior SCRM research in two ways. First, the authors operationalize SCRMS in the medicine supply chain context in (ab)normal times, thereby opening avenues for future research on SCRM in this context. Second, the authors develop insights on the role policymakers play and how they directly implement and indirectly influence the adoption of SCRMS. Based on the study findings, the authors develop a framework that captures the diverse roles of policymakers in SCRM.

Supply Chain Risk Management and Business Performance of Selected Oil and Gas Marketing Companies in Lagos State, Nigeria: Moderating Role of Firms' Size

The oil and gas marketing firms in Lagos State are faced with issues such as natural disasters (pandemic), man-made hazards (pipeline vandalization and oil theft) and macro-economic events (economic downturn, high inflation and foreign exchange volatility). These challenges have critically affected consumers purchasing power, cause increasing high cost of operations, dwindling revenue and consequently decline in operating performance of oil and gas companies, especially oil and gas marketing firms. This study investigated the effect of supply chain risk management strategy on business performance of oil and gas marketing companies in Lagos, Nigeria as moderated by firm size. The study adopted a survey research design. The study population study was 1,044 full-time employees of five selected oil and gas marketing companies in the downstream sector of petroleum industry in Nigeria where a sample size of 362 employees were selected. The study adopted purposive, stratified and proportionate sampling techniques. An adapted and validated questionnaire was used to collect primary data from the respondents. Data was analyzed using descriptive and hierarchical multiple regression technique. Findings indicate supply chain risk management strategy had significant effect on usiness performance of oil and gas marketing companies in Lagos, Nigeria. Finding further revealed that firm size significantly moderated the relationship between supply chain risk management strategy and business performance among oil and gas marketing companies in Lagos, Nigeria. The study recommended that management of oil and gas marketing companies need to employ strategic agility measures in order to thoroughly understand the Nigerian oil and gas business environment which is germane for oil and gas marketers so as to enable them build a framework that will enable them survive the changing environment and gain overall performance. Keywords: Firm Size, Food and Beverage Companies’, Business Performance, Supply Chain Risk Management Strategy, Lagos State

A theoretical model on how firms can leverage political resources to align with supply chain strategy for competitive advantage

AbstractThe success of a firm's supply chain strategy depends on resources in the political environment and the supply network in which it operates. If the political environment is not conducive to a firm's supply chain strategy, a firm can either change its supply chain strategy or seek a political environment that is more favorable to its supply chain. This paper examines this second alternative. The structure‐conduct‐performance (SCP) paradigm and the competitive dynamics literature are used to explore the relationships between political actions that leverage supply network resources, supply chain strategies, and firm performance. We extend a well‐known typology of political actions from the strategic management literature and suggest that beyond influencing or complying with the political environment, firms may choose to moderate the political environment (circumvent or submit) or stay neutral (free ride). An integrated model is developed to explore the relationships between political actions and supply chain strategy, along with a series of propositions outlining how political actions can facilitate supply chain risk management strategies. Finally, suggestions are provided for future research.

From the editors: Introduction to the emerging discourse incubator on the topic of leveraging multiple types of resources within the supply network for competitive advantage

AbstractThe Journal of Supply Chain Management's 2022 emerging discourse incubator looks to encourage scholars from different disciplines to develop and test new theories to advance our understanding about why and how firms should manage supply network resources for deploying competitive actions and gaining competitive advantage. To start that discourse, this issue offers three invited papers. In “Broadening our understanding of interfirm rivalry: A call for research on how supply networks shape competitive behavior and performance,” Christian Hofer, Jordan Barker, Laura d'Oria, and Jon Johnson discuss the criticality of the supply network to a focal firm's capability in engaging competitive behaviors and the effectiveness of their rivalrous activities, which together affect the firm's competitive advantage. Michael Howe and Yao Jin explore the relational multiplexity theoretical framework in “It's Nothing Personal, or is it? Exploring How Relational Multiplexity in the Supply Chain Can Enhance Competitive Behavior.” In “A theoretical model on how firms can leverage their supply chain strategy through political actions,” Abhay Grover and Martin Dresner use the structure‐conduct‐performance and competitive dynamics perspectives to theorize about the relationship between political strategies, supply chain risk management strategy, and firm competitive advantage. These invited papers provide a solid foundation to further a discourse that explains how and why changes in supply chain networks can enable firms to rapidly introduce competitive actions such as new product innovations to remain competitive in their respective industries.

A neo-institutional view of the transaction cost drivers of construction supply chain risk management

PurposeIn a departure from the efficiency theory assumptions implicit in most supply chain risk management (SCRM) literature, this study aims to explore the role that external neo-institutional pressures play in shaping the risk management strategies deployed to mitigate transaction cost risks in construction supply chains (CSC).Design/methodology/approachA theory-elaborating case study is used to investigate how regulatory, normative and mimetic neo-institutional pressures underpin SCRM strategies in state-led and private-led CSC in China.FindingsThe study finds that institutionalized Confucianist networks serve as proxies for regulatory accountability and thereby create a form of dysmorphia in the regulatory, normative and mimetic drivers of SCRM strategies in state-led and private-led CSC in China.Originality/valueThe findings reveal that relational costs such as bargaining, transfer and monitoring costs underpin SCRM in state-led CSC. Behavioral costs associated with search, screening and enforcement are the core drivers of SCRM in private-led CSC. These differences in transaction cost drivers of SCRM arise from the risk-buffering effect of personalized Guanxi networks, creating variants of institutional pressures on actors' risk analysis, identification and treatment strategies in China. Considering China's global hegemony in construction and related industries, this study provides valuable insights for practitioners and researchers on the need for a constrained efficiency view of SCRM in global CSC.

공급사슬 위험관리 전략이 공급사슬 강건성과 기업성과에 미치는 영향

공급사슬 위험관리 전략이 공급사슬 강건성과 기업성과에 미치는 영향

A Study on Supply Chain Risk Management Strategies During Covid-19

글로벌화와 정보통신기술의 발전으로 인해 효율적 글로벌 공급사슬관리는 기업의 경쟁우위전략에 핵심적인 요소이다. 그러나 공급사슬이 지리적·시간적으로 연장되고 복잡해지면서 공급사슬관리는 위험에 더욱 노출되고 있다. 최근 발생하는 코로나19는 공급망의 붕괴로 이어지며 전세계 경제에 엄청난 영향을 미치고 있으며, 이로 인해 위험관리에 대한 관심이 고조되고 있다. 본 연구는 최근 전세계적으로 확산되고 있는 코포나19를 포함한 각종 공급사슬위험요인이 공급사슬 참여자간의 관계적인 측면에서의 공급사슬전략에 미치는 영향을 분석하는 데 목적이 있다. 설문을 통한 분석결과 공급사슬위험요인(공급, 수요, 운영, 외부환경)이 협력적 위험관리전략에 유의한 영향을 미치는 것으로 나타났다. 이에 반해 공급사슬위험요인이 경쟁적 위험관리전략에 대한 영향은 운영요인을 제외하고는 유의한 영향을 미치지 않는 것으로 나타났다. 연구의 시사점은 공급사슬관리의 효과를 최대화하는 데 협업과 정보의 공유와 같은 상호간 연계성이 핵심적인 요소인 것과 마찬가지로 공급사슬위험관리에서도 상호 협력 관계가 중요하다는 점이다. 자사만의 이익을 우선시하면서 상호 경쟁적인 위험관리전략은 선호되지 않을 뿐만 아니라 제한적으로 실행된다는 것이다. 따라서 공급사슬관리의 위험을 경감하기 위해서는 공급사슬 참여자간의 파트너십, 협업, 정보공유 등을 촉진해 나가는 것이 필요하다고 할 수 있다.Due to globalization and advances in information and communication technology, efficient global supply chain management is a key element in a company s competitive advantage strategy. However, as supply chains expand geographically and become complex, supply chain management is more exposed to risks. The recent COVID-19 outbreak has led to the disruption of the supply chain and has a tremendous impact on the global economy, which has lead to more interest in risk management. This study aims to analyze the effects of various supply chain risk factors, including Covid 19, which are spreading around the world recently, on the supply chain strategies in terms of the relationship between supply chain participants. As a result of analysis through the questionnaire, it was found that the supply chain risk factors(supply, demand, operation, external environment) had a significant influence on the cooperative risk management strategy. On the other hand, it was found that the effect of supply chain risk factors on the competitive risk management strategy did not have a significant effect except for operational factors. The implications of this study are that, just as cooperation and information sharing are key factors in maximizing the effect of supply chain management, mutual cooperation is important in supply chain risk management. The risk management strategy, which is mutually competitive and independent while considering its own interests, is not preferred and limited in implementation. Therefore, in order to reduce the risk of supply chain management, this study suggests that it is necessary to promote partnership, collaboration, and information sharing among supply chain participants.

Risk Mitigation of Tobacco Supply Chain: Business Process Model

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.

Using fit perspectives to explain supply chain risk management efficacy

Supply chain risk management (SCRM) literature acknowledges that the choice of SCRM strategies should fit with contextual factors. Yet empirical support for this premise is scarce, mainly relies on just a single type of fit analysis, and lacks any consideration of organisational structures. Accordingly, this article combines two perspectives of fit analysis: ‘fit as profile deviation’ and ‘fit as moderation’. The former supports the introduction of two concepts: risk management incoherence (RMI) and risk management efficacy (RME). Whereas RMI refers to the lack of fit between the perceived usefulness of different mitigation strategies and their degree of implementation; RME pertains to the fit between the perceived relevance of different SCRM objectives and the degree to which they are achieved. The latter allows us to posit a negative effect of RMI on RME and a negative moderation of the time assigned to a Risk Manager on that effect. A sample of 106 companies confirms the proposed model. Therefore, this study expands existing literature on contingent SCRM and on organisational structures for SCRM.

Reconceiving Supply Chain (SC) Risk Management Strategies with the Outbreak of Pandemic like Covid-19

Reconceiving Supply Chain (SC) Risk Management Strategies with the Outbreak of Pandemic like Covid-19

Supply Chain Risk Management Strategies: A Study of South African Third-Party Logistics Providers

The purpose of this study was to determine the supply chain risk management (SCRM) strategies that South African third-party logistics (3PL) service providers use to mitigate risks, the extent to which they adopt these strategies and the benefits derived thereof. An exploratory and descriptive method technique was adopted. The empirical study comprised of email surveys administered to 398 supply chain managers employed by South African 3PLs. The findings reveal that respondents place greater importance on risk identification than on the other SCRM strategies. Risk assessment attained the lowest rating, implying that 3PL providers placed the least importance on this risk assessment strategy. Risk response and risk monitoring, reporting and control are all adopted to a significantly lesser extent. The findings also revealed that 3PL providers derive significant benefits from all SCRM strategies. A limitation of this study is that not all 3PL providers affiliated with SAAFF participated. In addition, because only members of senior management were included in the study, the opinions of operational and tactical staff were not obtained. The study contributes to the current body of knowledge on SCRM by exploring how 3PL providers in a developing country, such as South Africa, assess supply chain risks, the strategies they have in place to respond to these risks, and the mechanisms in place to monitor and control SCM risks.

Benchmarking the relationship between supply chain risk mitigation strategies and practices: an integrated approach

PurposeThe purpose of this paper is to explore the relationship between various risk management strategies and risk management practices in order to design and hence enact a suitable supply chain risk mitigation (RM) plan. Additionally, this study proposes a hierarchical framework to explain the mutual relationship between supply chain risk management (SCRM) practices and strategies by considering the underlying dimensions between them.Design/methodology/approachAn amalgamation of systematic literature analysis (SLA) and correspondence analysis (CA) has been performed to develop the conceptual framework. A real-life case of Indian petroleum supply chain has been considered to validate and explain the proposed model.FindingsThe results reveal three underlying dimensions, which associate the relationship between RM strategies. They are, risk adaptability of SC managers with a variance of 34.71%, followed by resource capability of the firm and the degree of sophistication of RM practices, with variances of 27.72 and 20.35%, respectively. Risk avoidance strategy comprises of practices such as supplier evaluation, technology adaption, flexible process and information security. On the other extreme, the risk sharing strategy includes revenue sharing, insurance, collaboration, public–private partnership and so on as essential RM practices.Research limitations/implicationsThe study not only focuses on the distinction between RM strategies and practices, which were used interchangeably in the prior literature, but also provides an association between the same by exploring the underlying dimensions. These underlying dimensions perform a crucial role while developing a risk management plan. This study explicitly focuses on the RM step of SCRM process. Pre and post risk mitigation phases of SCRM process, such as risk assessment and risk monitoring, are beyond the scope of the current research.Originality/valueThe paper develops a framework for mapping various RM strategies with their corresponding practices by considering the Indian petroleum supply chain as a viable case study. Various theoretical and business implications are derived in the context of the developing country.

A Meta‐Analytic Review of Supply Chain Risk Management: Assessing Buffering and Bridging Strategies and Firm Performance

Supply chain risk management has received considerable attention as firms experience more frequent and severe impact disruptions. We meta‐analytically test the Bode et al. (2011) framework of buffering and bridging supply chain risk management strategies to determine their effect on supply chain risk management. We analyze the supply chain risk management literature to find that both buffering and bridging strategies contribute to supply chain risk management. We also address the benefit of supply chain risk management. Results indicate that supply chain risk management provides a strong contribution to overall firm performance. Additionally, we identify cultural differences of these relationships. Although supply chain risk management strategies may be applied universally, their efficacy varies by culture. In conclusion, we identify and provide guidance for future work.