Modeling information risk in supply chain using Bayesian networks

2016 ◽  
Vol 29 (2) ◽  
pp. 238-254 ◽  
Author(s):  
Satyendra Sharma ◽  
Srikanta Routroy
Keyword(s):  
Risk Factors ◽  
Supply Chain ◽  
Bayesian Networks ◽  
Information Sharing ◽  
Causal Relationship ◽  
Negative Consequences ◽  
Subjective Data ◽  
Content Type ◽  
Information Risk ◽  
The Impact

Purpose – Information sharing enhances the supply chain profitability significantly, but it may result in adverse impacts also (e.g. leakages of secret information to competitors, sharing of wrong information that result into losses). So, it is important to understand the various risk factors that lead to distortion in information sharing and results in negative consequences. Information risk identification and assessment in supply chain would help in choosing right mitigation strategies. The purpose of this paper is to identify various information risks that could impact a supply chain, and develop a conceptual framework to quantify them. Design/methodology/approach – Bayesian belief network (BBN) modeling will be used to provide a framework for information risk analysis in a supply chain. Bayesian methodology provides the reasoning in causal relationship among various risk factors and incorporates both objective and subjective data. Findings – This paper presents a causal relationship among various information risks in a supply chain. Three important risk factors, namely, information security, information leakages and reluctance toward information sharing showed influence on a company’s revenue. Practical implications – Capability of Bayesian networks while modeling in uncertain conditions, provides a prefect platform for analyzing the risk factors. BBN provides a more robust method for studying the impact or predicting various risk factors. Originality/value – The major contribution of this paper is to develop a quantitative model for information risks in supply chain. This model can be updated when a new data arrives.

Investigating the impact of inventory inaccuracy on the bullwhip effect in RFID-enabled supply chains using colored petri nets

2019 ◽  
Vol 14 (2) ◽  
pp. 360-384 ◽  
Author(s):  
Maria Drakaki ◽  
Panagiotis Tzionas
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Petri Nets ◽  
Information Sharing ◽  
Bullwhip Effect ◽  
Colored Petri Nets ◽  
Content Type ◽  
Multi Stage ◽  
The Impact ◽  
Serial Supply Chains

PurposeInformation distortion results in demand variance amplification in upstream supply chain members, known as the bullwhip effect, and inventory inaccuracy in the inventory records. As inventory inaccuracy contributes to the bullwhip effect, the purpose of this paper is to investigate the impact of inventory inaccuracy on the bullwhip effect in radio-frequency identification (RFID)-enabled supply chains and, in this context, to evaluate supply chain performance because of the RFID technology.Design/methodology/approachA simulation modeling method based on hierarchical timed colored petri nets is presented to model inventory management in multi-stage serial supply chains subject to inventory inaccuracy for various traditional and information sharing configurations in the presence and absence of RFID. Validation of the method is done by comparing results obtained for the bullwhip effect with published literature results.FindingsThe bullwhip effect is increased in RFID-enabled multi-stage serial supply chains subject to inventory inaccuracy. The information sharing supply chain is more sensitive to the impact of inventory inaccuracy.Research limitations/implicationsInformation sharing involves collaboration in market demand and inventory inaccuracy, whereas RFID is implemented by all echelons. To obtain the full benefits of RFID adoption and collaboration, different collaboration strategies should be investigated.Originality/valueColored petri nets simulation modeling of the inventory management process is a novel approach to study supply chain dynamics. In the context of inventory errors, information on RFID impact on the dynamic behavior of multi-stage serial supply chains is provided.

Impact of supply chain information sharing on performance of fashion enterprises

2019 ◽  
Vol 32 (6) ◽  
pp. 913-935 ◽  
Author(s):  
Caixia Chen ◽  
Tongyu Gu ◽  
Yuru Cai ◽  
Yixiong Yang
Keyword(s):  
Supply Chain ◽  
Organizational Performance ◽  
Information Sharing ◽  
Life Cycles ◽  
Equation Modeling ◽  
Content Type ◽  
Research Results ◽  
Fashion Brand ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this paper is to develop a novel research model to examine the relationship among information sharing (IS), supply chain integration (SCI), operational performance (OP) and business performance (BP) in the fashion supply chains. Design/methodology/approach A survey of 247 executives from Chinese fashion brand firms was conducted and the data were analyzed to investigate how IS affects the organizational BP. Structural equation modeling (SEM) was applied to study the relationship among IS, SCI, OP and BP. Findings The empirical research results indicate that IS is critical to enhance the SCI and OP, and both SCI and OP exert mediating effects on BP of fashion brands. This result also reveals constructive suggestions that allow fashion brands to strengthen their SCI and OP, as well as BP. Research limitations/implications Multiple data sources were applied to develop the sampling frame, and respondents were selected (according to their experience and position) to ensure they had the knowledge and expertise to provide valid response. However, this could not guarantee the adequacy of the sample. This limitation is compounded by the reliance on a simple respondent per firm, which precludes testing for inter-rater reliability. Practical implications The empirical findings provide an enhanced understanding of the relationship among IS, SCI, OP and BP in Chinese fashion brand settings. The research results will help fashion brands to improve supply chain efficiency and enhance company performance. Originality/value Although previous studies have realized that the value of IS varies in different industries, few have specifically explored the impact on the fashion industry characterized by short life cycles, high volatility, low predictability and high impulse purchasing. To fill this knowledge gap, the present study employed a questionnaire survey and SEM techniques to explore the relationship among IS, SCI, OP and BP in the fashion supply chain. Comprehending the impact mechanism of IS on organizational performance can provide useful management insights into the development of effective strategies that allow enterprise to improve BP.

The effect of supply chain disruptions on shareholder wealth in small and mid-cap companies

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aswin Alora ◽  
Mukesh Kumar Barua
Keyword(s):  
Supply Chain ◽  
Insider Trading ◽  
Shareholder Wealth ◽  
Negative Consequences ◽  
Small Companies ◽  
Supply Chain Disruption ◽  
Supply Chain Disruptions ◽  
Content Type ◽  
Global Consensus ◽  
The Impact

Purpose Supply chain disruptions can have severe negative consequences on companies. However, studies measuring the financial impacts of supply chain disruptions are largely confined to developed nations and large companies. Therefore, this study aims to analyze the impact of supply chain disruption on small companies in the context of an emerging nation. Further, an attempt has been made to classify supply chain disruptions and measure its impact by its type. Design/methodology/approach In this research, the event study on 335 supply chain disruption events for a 10 year period starting from 2009 to 2019 has been used. Findings The results state that the Indian small and medium companies lost −4.49% of shareholder wealth in disruption. The findings also indicate that the financial and environmental disruptions can have severe effect on shareholder wealth as compared to other category. Research limitations/implications The study is confined to a developing country. Considering multiple countries can provide comparative results and therefore a global consensus could be achieved. Practical implications The outcomes of the results help managers to plan and prioritize supply chain disruptions, regulatory authorities can plug any possible insider trading practices for small companies in the event of supply chain disruptions. Investors can plan and take prudent investing decisions based on the nature of the disruptions. Originality/value To the best of the knowledge, this is the first study measuring the supply chain disruption effects on smaller companies in an emerging nation. The study is also novel in incorporating financial disruptions and measuring source wise impact on shareholder wealth.

Enhancing supply chain resilience by counteracting the Achilles heel of information sharing

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hwee-Chin Tan ◽  
Keng Lin Soh ◽  
Wai Peng Wong ◽  
Ming-Lang Tseng
Keyword(s):  
Supply Chain ◽  
Information Security ◽  
Information Sharing ◽  
Information Leakage ◽  
Equation Modeling ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Security Culture ◽  
The Impact ◽  
Information Security Culture

PurposeIn the face of information leakage, this study aims to demonstrate pathways to supply chain resilience (SCR) during information sharing by deploying organizational ethical climate (OEC) and information security culture (ISC) as non-punitive mitigation approaches.Design/methodology/approachThis empirical study was conducted to verify the framework using a questionnaire distributed to Malaysian multinational corporations (MNCs) of the manufacturing sector. The data were analysed using structural equation modeling (SEM) techniques with the AMOS software.FindingsThis study has confirmed the adverse impact of intentional and unintentional leakages on information sharing effectiveness. The findings showed ISC could reduce the impact of information leakage, but an OCE could not. This study provides evidence that information sharing effectiveness could impact SCR. The former is a mediator between information leakage and SCR, with information leakage moderated by information security culture. These findings convey that multinationals should set up an ISC to reduce information leakage and enhance their SCR.Originality/valuePrior studies lacked the explanation of the impact of mitigating factors on information leakage in information sharing effectiveness affecting SCR. A framework that explains the relationships add value to organizations making available strategic decisions to curb information leakage and manage SCR.

The role of IT in automotive supplier supply chains

2018 ◽  
Vol 31 (1) ◽  
pp. 64-88 ◽  
Author(s):  
Christoph Fuchs ◽  
Daniel Beck ◽  
Bernhard Lienland ◽  
Florian Kellner
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Automotive Industry ◽  
Supply Chain Performance ◽  
Content Type ◽  
Internal Process ◽  
Functional Capabilities ◽  
Supplier Performance ◽  
It Capabilities ◽  
The Impact

Purpose The purpose of this paper is to explore the impact of information technology (IT) on supply chain performance in the automotive industry. Prior studies that analyzed the impact of IT on supply chain performance report results representing the situation of the “average industry.” This research focuses on the automotive industry because of its major importance in many national economies and due to the fact that automotive supply chains do not represent the supply chain of the average industry. Design/methodology/approach A research model is proposed to examine the relationships between IT capabilities, supply chain capabilities, and supplier performance. The model divides IT capabilities into functional and data capabilities, and supply chain capabilities into internal process excellence and information sharing. Data have been collected from 343 automotive first-tier suppliers. Structural equation modeling with partial least squares is used to analyze the data. Findings The results suggest that functional capabilities have the greatest impact on internal process excellence, which in turn enhances supplier performance. However, frequent and adequate information sharing also contributes significantly to supplier performance. Data capabilities enable supply chain capabilities through their positive impact on functional capabilities. Practical implications The findings will help managers to understand the effect of IT implementation on company performance and to decide whether to invest in the expansion of IT capacities. Originality/value This research reports the impact of IT on supply chain performance in one of the most important industries in many industrialized countries, and it provides a new perspective on evaluating the contribution of IT on firm performance.

Food insecurity among postsecondary students in developed countries

2018 ◽  
Vol 120 (11) ◽  
pp. 2660-2680 ◽  
Author(s):  
Sarah Dawn Lee ◽  
Mahitab Hanbazaza ◽  
Geoff D.C. Ball ◽  
Anna Farmer ◽  
Katerina Maximova ◽  
...  
Keyword(s):  
Risk Factors ◽  
Food Insecurity ◽  
Quality Assessment ◽  
Low Income ◽  
Developed Countries ◽  
Postsecondary Students ◽  
Negative Consequences ◽  
Content Type ◽  
Quantitative Studies ◽  
The Impact

Purpose The purpose of this paper is to conduct a narrative review of the food insecurity literature pertaining to university and college students studying in Very High Human Development Index countries. It aims to document food insecurity prevalence, risk factors for and consequences of food insecurity and food insecurity coping strategies among students. Design/methodology/approach English articles published between January 2000 and November 2017 were identified using electronic databases. Quality Assessment Tool for Quantitative Studies assessed the study quality of quantitative research. Findings A total of 37 quantitative, three mixed-methods and three qualitative studies were included from 80,914 students from the USA (n=30 studies), Australia (n=4), Canada (n=8) and Poland (n=1). Prevalence estimates of food insecurity were 9–89 percent. All quantitative studies were rated weak based on the quality assessment. Risk factors for food insecurity included being low income, living away from home or being an ethnic minority. Negative consequences of food insecurity were reported, including reduced academic performance and poor diet quality. Strategies to mitigate food insecurity were numerous, including accessing food charities, buying cheaper food and borrowing resources from friends or relatives. Research limitations/implications Given the heterogeneity across studies, a precise estimate of the prevalence of food insecurity in postsecondary students is unknown. Practical implications For many students studying in wealthy countries, obtaining a postsecondary education might mean enduring years of food insecurity and consequently, suffering a range of negative academic, nutritional and health outcomes. There is a need to quantify the magnitude of food insecurity in postsecondary students, to inform the development, implementation and evaluation of strategies to reduce the impact of food insecurity on campus. Originality/value This review brings together the existing literature on food insecurity among postsecondary students studying in wealthy countries to allow a better understanding of the condition in this understudied group.

scholarly journals The effect of supply chain management practices on supply chain and manufacturing firms’ performance

2017 ◽  
Vol 28 (5) ◽  
pp. 577-609 ◽  
Author(s):  
Moh’d Anwer Radwan Al-Shboul ◽  
Kevin D. Barber ◽  
Jose Arturo Garza-Reyes ◽  
Vikas Kumar ◽  
M. Reza Abdi
Keyword(s):  
Supply Chain ◽  
Supply Chain Management ◽  
Supply Chains ◽  
Information Sharing ◽  
Causal Relationship ◽  
Significant Relationship ◽  
Manufacturing Firms ◽  
Chain Management ◽  
Content Type ◽  
Positive Effect

Purpose The purpose of this paper is to theorise and develop seven dimensions (strategic supplier partnership, level of information sharing, quality of information sharing, customer service management, internal lean practices, postponement and total quality management) into a supply chain management (SCM) practices (SCMPs) construct and studies its causal relationship with the conceptualised constructs of supply chain performance (SCP) and manufacturing firms’ performance (MFP). The study also explores the causal relationship between SCP and MFP. Design/methodology/approach Data were collected through a survey questionnaire responded by 249 Jordanian manufacturing firms. The relationships proposed in the developed theoretical framework were represented through three hypotheses: H1 – there is a significant relationship between SCMPs and SCP; H2 – there is a significant relationship between SCMPs and MFP; and H3 – there is a significant relationship between SCP and MFP. Linear regression, ANOVA and Pearson correlation were used to test the hypotheses. The results were further validated using structural equation modelling. Findings The results indicate that SCMPs have a positive effect on SCP (H1), which in turn also positively affect MFP (H3). Despite this intermediary positive effect of SCMP on MFP through SCP, the study also suggests that SCMPs have a direct and positive effect on MFP (H2). Practical implications This study provides hard evidence indicating that higher levels of SCMPs can lead to enhanced supply chain and firms’ performance. It also provides SC managers of manufacturing firms with a multi-dimensional operational measure of the construct of SCMPs for assessing the comprehensiveness of the SCMPs of their firms. Originality/value This study is among the very first SCM researches conducted on the Jordanian manufacturing sector, particularly, in relation to the practices that manufacturing firms in this country need to adopt to make their supply chains a solid competitive vehicle for their development. The results have broader implications for all manufacturing companies, particularly in developing economies where the growth of manufacturing and the development of integrated supply chains are key stages in economic development.

The “snowball effect” in the transmission of disruptions in supply chains

2016 ◽  
Vol 27 (3) ◽  
pp. 1002-1038 ◽  
Author(s):  
Artur Swierczek
Keyword(s):  
Risk Factors ◽  
Supply Chain ◽  
Supply Chains ◽  
Chain Structure ◽  
Supply Chain Integration ◽  
Negative Consequences ◽  
Content Type ◽  
External Risk ◽  
Supply Chain Structure ◽  
Snowball Effect

Purpose The purpose of this paper is to explore the link between interorganizational integration with respect to its intensity and span, as well as the propagation and amplification of disruptions alongside a supply chain. Design/methodology/approach The paper opted for an exploratory study using a survey of companies. In order to extract the constructs manifesting the span and intensity of integration between companies in supply chains, the principal component analysis was employed. The obtained factor scores were then used as classification criteria in the cluster analysis. It enabled to include similar organizations in terms of intensity and span of supply chain integration. In order to validate the obtained results, the analysis of variance (ANOVA) was conducted and regression models were developed. Findings The findings of the study show that there is a relationship between the intensity and span of supply chain integration and the “snowball effect” in the transmission of disruptions. The obtained findings show that the span of supply chain integration is negatively associated with the strength of the “snowball effect” in the transmission of disruptions. In addition, the results suggest that more intense supply chain integration contributes to the “snowball effect” in material flows in the forward and backward transmission of disruptions. Research limitations/implications Although the current study investigates the intensity and span of integration within the basic, extended and ultimate supply chain structure, it still lacks the broader analysis of the “snowball effect” in the transmission of disruptions. The study investigates this phenomenon only within the basic supply chain structure, constituted by the primary members. Another challenge is to examine if the effects of external risk factors (e.g. natural disasters) may also be transferred to other links in the supply chain structure, and what are the similarities and differences (if any) between the mechanism of propagation and amplification of disruptions elicited by internal and external risk factors. Another future direction of study is to define other ways of identification and measurement of the “snowball effect” in order to make cross-industrial and international comparisons of disruptions amplified in the transmission more standardized and objective. In the current study, the phenomenon of the “snowball effect” is anchored in the subjective opinions of managers who may view the problem from different angles. Consequently, the study is limited to individual perceptions of the strength of disruptions affecting the solicited company, its customers and suppliers. Practical implications In practical terms, the findings provide crucial information for the framework of supply chain risk management and therefore enable its more efficient and effective implementation. The better the managers understand the nature of the “snowball effect” in the transmission of disruptions, the easier it is for them to allocate resources and apply necessary managerial tools to mitigate the negative consequences of risk more effectively. The deliverables of the study also confirm that the interorganizational exchange of information accompanying the supply chain integration enables to mitigate the strength of the “snowball effect” in the transmission of disruptions. Another important implication is the broadening of practical expertise concerning the use of integration not only as a means of obtaining and sustaining supply chain effectiveness and efficiency, but also as the way to mitigate the “snowball effect” in the transmission of disruptions. Therefore, nowadays the supply chain managers are facing another challenging task – namely, how to balance supply chain integration in terms of span and intensity to ensure profits from integration and mitigate the negative risk consequences transmitted among the links in supply chains. Originality/value The paper elaborates on the underestimated issue of the “snowball effect” in the transmission of disruptions and its drivers. In particular, the paper attempts at filling the gap in empirical studies concerning the relationships between the “snowball effect” in the transmission of disruptions and supply chain integration.

Information sharing in a green supply chain with promotional effort

Kybernetes ◽  
2020 ◽  
Vol 49 (11) ◽  
pp. 2683-2712 ◽  
Author(s):  
Junfei Ding ◽  
Wenbin Wang
Keyword(s):  
Supply Chain ◽  
Information Sharing ◽  
Consumer Surplus ◽  
Green Supply Chain ◽  
Future Research ◽  
Content Type ◽  
Promotional Effort ◽  
Demand Information ◽  
The Impact ◽  
Share Information

Purpose The purpose of this paper is to investigate the retailer’s strategy of information sharing in a green supply chain with promotional effort, and the impact of information sharing on the decisions and profits of the manufacturer and the retailer. Design/methodology/approach The developed models aim to maximize the profits of the manufacturer, the retailer and the green supply chain system. The game theory is used to obtain the equilibrium solutions of both the manufacturer and the retailer. A two-part compensation (TPC) contract is designed to motivate the retailer to share information with the retailer. Numerical examples are used to show the impact of parameters on decisions by Matlab 2014. Findings The results show that the green degree increases while the promotional effort level decreases when the manufacturer receives the larger demand information from the retailer; information sharing leads to a profit increase to the manufacturer and a profit loss to the retailer, but can increase the profit of supply chain under a certain condition; information sharing reduces the expected consumer surplus. The TPC contract designed in this paper can not only motivate the retailer to share information but also increases the consumer surplus. Research limitations/implications The study has been done in a monopoly environment where only a retailer can forecast demand information. It is an interesting direction of future research when considering there are more retailers who can forecast such information in a supply chain. Originality/value There exist two main aspects that are different from the existing literature. The stochastic demand function related to the retail price, the green degree and the promotional effort have never appeared in previous literature. This paper considers a green product supply chain with a manufacturer who produces green products and a retailer who has an information advantage because of her promotional effort; this paper investigates the impact of information sharing on the consumer surplus and designs a contract to coordinate the green supply chain.

An integrated framework for the assessment of inbound supply risk and prioritization of the risk drivers

2019 ◽  
Vol 27 (3) ◽  
pp. 1261-1286 ◽  
Author(s):  
Ramesh K.T. ◽  
Sarada P. Sarmah ◽  
Pradeep Kumar Tarei
Keyword(s):  
Risk Factors ◽  
Risk Assessment ◽  
Supply Chain ◽  
Risk Score ◽  
Service Industries ◽  
Risk Indicators ◽  
Supply Risk ◽  
Content Type ◽  
Indian Context ◽  
The Impact

Purpose The purpose of this paper is to present a framework for identifying various inbound supply-risk factors and analyzing its indicators considering the contextual relationship between them. This study additionally proposes a framework for developing an overall inbound supply-risk score considering a real-life case of the electronics supply chain (ESC) in the Indian context. Design/methodology/approach In total, 32 risk indicators are identified by a systematic literature review approach and are validated by supply chain practitioners/experts and further categorized into six main risk factors. A hybrid multi-criteria decision-making-based DANP (DEMATEL and ANP) framework is employed to develop the overall inbound-supply-risk score (ISRS) and to prioritize the risk indicators. Indian ESC is chosen as a viable case study to demonstrate the effectiveness of the proposed framework. Findings The outcomes from the study reveal that the overall ISRS in the ESC is 36 percent and additionally forewarns critical inbound-supply-risk factors such as supplier performance, product, and buyer organization. Further, the study also identifies the most significant risk indicators such as price margin, investment, on-time delivery, order fulfillment and design changes for ESC. Research limitations/implications Supply chain practitioners can adopt this framework as a useful inbound supply-risk assessment tool. Moreover, the hybrid framework will address subjectivity and interrelations among various factors through experts’ judgments. The results will assist the managers to have better insights on the critical risk factors and their complicated interrelationships and further strategize action plans to nullify the impact of incoming risks. This study mainly focused on risk identification and assessment of electronics inbound-supply-risk indicators in the Indian context. The framework can be used for other manufacturing and service industries, albeit the results derived are in the context of a developing country. Originality/value This paper provides an effective risk assessment framework for the supply chain practitioners/managers to develop a decision-support system for inbound-supply-risk quantification and prioritization of risk factors in the context of the ESC.

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