Submitted by Daniel Dumke on Wed, 2011-11-23 11:22
Supplier risk assessment and monitoring for the automotive industry
A typical supply chain risk management process consists of four steps: risk identification, assessment, management and monitoring. From those steps, one of the most neglected step is the risk monitoring.
Risk monitoring implies two different actions: Continuous risk assessment and actions, as soon as pre-defined limits are reached.
So this article sheds light on the risk monitoring, from an article by Blackhurst, Scheibe and Johnson (“Supplier risk assessment and monitoring for the automotive industry”).
Many companies are struggling with the idea to use modern optimization techniques to support decision making in strategic supply chain management.
But beside mathematical modeling of the supply chain there are other methods as well, such as network based approaches. In their 2005 paper Blackhurst, Wu and O’Grady present a more intuitive decision support method with the goal to improve decisions within the supply chain context.
We already know that supply chain disruptions can be quite costly, and have not only direct but also indirect effects (eg. on stock prices). So do all supply chain disruptions have the same effect on the focal company? Of course not, but what are the driving factors that influence the impact?
In their conceptual note Craighead et al. (2007) analyse the factors of the impact supply chain disruptions.
What do professionals in the domain of supply chain management think about disruptions? How do they prepare for them, how do they act when a disruption occurs?
Blackhurst et al. (2005) answer these questions in their work about “An empirically derived agenda of critical research issues for managing supply-chain disruptions”.The authors are using three different empirical methods to achieve this goal empirically: Case study, surveys and focus groups.