The Six Sigma framework improves the awareness and management of supply-chain risk

2020 ◽  
Vol 32 (5) ◽  
pp. 1021-1037
Author(s):  
Roy Andersson ◽  
Yinef Pardillo-Baez
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Supply Chains ◽  
Six Sigma ◽  
Lean Six Sigma ◽  
Supply Chain Risk ◽  
Holistic View ◽  
Content Type ◽  
Management Culture ◽  
Training Structure

PurposeModern supply chains are at risk as a result of increasing disturbance. The use of Lean and Six Sigma’'s values, methods and tools can be one option to analyze, prevent and mitigate risks. The purpose of this study is to investigate whether a combined Lean Six Sigma philosophy can support the awareness and management of supply-chain risk.Design/methodology/approachThe methodology followed in the study is based on a literature review and multiple case study, performed by means of qualitative methods of data collection, such as observations on-site, face-to-face interviews and document analysis. Case selection includes the results of research conducted in seven large Swedish companies.FindingsIt has been indicated that Lean and Six Sigma values, methods and tools can be very effective in companies’ efforts to control the supply-chain risks and that they improve the companies’ ability to handle variability and risk management. Lean Six Sigma supports a risk-management culture in the focal companies, but they must involve customers and companies in the supply chain if they wish to create a risk-management culture in the entire supply chain. In order to do this, they can use the Six Sigma training structure, but they need to include more risk tools and methods developed for the supply chain management. It has also been indicated in the literature that if more people involve in 6S projects, the financial results will be better, and the innovation of processes will increase.Research limitations/implicationsThese include suggestions for how the companies can use the Six sigma training structure to collaborate in the supply chain.Practical implicationsThis study gives practical suggestions for how the companies in supply chain can collaborate and use the Six Sigma training structure for creating a more holistic view of supply chain, which also decrease risks in supply chain.Originality/valueThis study indicates that Lean Six Sigma supports risk awareness and management in the focal companies of the supply chains, which improves companies’ ability to handle variability and risk management. It has also been demonstrated that the companies should use the Six Sigma framework, especially training, as a foundation, and they should create common projects for better collaboration in the supply chain, which will decrease the risks in the entire supply chain.

The proactive pursuit of surging performance through supply chain risk management

2020 ◽  
Vol 36 (7) ◽  
pp. 35-37
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Design Methodology ◽  
Reading Time ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Content Type ◽  
Management Culture ◽  
Pertinent Information ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings This research paper concentrates on clarifying how the proactive supply chain risk management (SCRM) strategies of supply chain (SC) flexibility, SC responsiveness, and SC resilience, impact upon SCRM performance. Data from the Turkish manufacturers revealed that SC resilience and SC responsiveness significantly boost SCRM performance, as well as overall firm performance, by reducing their associated risk, but that SC flexibility does not. Furthermore, the presence of a risk management culture in itself did not yield the expected ultimate increase in SCRM performance. Originality/value The briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

On uncertainty in supply chain risk management

2014 ◽  
Vol 25 (1) ◽  
pp. 3-19 ◽  
Author(s):  
Jyri Vilko ◽  
Paavo Ritala ◽  
Jan Edelmann
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Supply Chains ◽  
Conceptual Framework ◽  
Logistics Management ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Content Type ◽  
Holistic Understanding ◽  
Efficiency And Effectiveness

Purpose – The concept of uncertainty is a relevant yet little understood area within supply chain risk management. Risk is often associated with uncertainty, but in reality uncertainty is a much more elaborate concept and deserves more in-depth scrutiny. To bridge this gap, the purpose of this paper is to propose a conceptual framework for assessing the levels and nature of uncertainty in this context. Design/methodology/approach – The aim of the study is to link established theories of uncertainty to the management of risk in supply chains, to gain a holistic understanding of its levels and nature. The proposed conceptual model concerns the role of certainty and uncertainty in this context. Illustrative examples show the applicability of the model. Findings – The study describes in detail a way of analysing the levels and nature of uncertainty in supply chains. Such analysis could provide crucial information enabling more efficient and effective implementation of supply chain risk management. Practical implications – The study enhances understanding of the nature of the uncertainties faced in supply chains. Thus it should be possible to improve existing measures and analyses of risk, which could increase the efficiency and effectiveness of supply chain and logistics management. Originality/value – The proposed conceptual framework of uncertainty types in the supply chain context is novel, and therefore could enhance understanding of uncertainty and risk in supply and logistics management and make it easier to categorise, as well as initiate further research in the field.

Supply chain readiness, response and recovery for resilience

2016 ◽  
Vol 21 (6) ◽  
pp. 709-731 ◽  
Author(s):  
Md Maruf Hossan Chowdhury ◽  
Mohammed Quaddus
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Partial Least Square ◽  
Extensive Literature ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Content Type ◽  
Management Culture ◽  
Study Results ◽  
Response And Recovery

Purpose Despite the proliferation of supply chain risk management (SCRM) studies, a theoretically supported and empirically validated study on justifying the antecedents and measurement dimensions of supply chain resilience (SCRE) is rare. Therefore, drawing on extensive literature review, this study aims to explore and validate the antecedents and the measurement dimensions of SCRE. Design/methodology/approach This study uses positivist paradigm using quantitative method. However, it also uses qualitative approach in the form of field study to contextualize the research model. The quantitative study is conducted by operationalising a survey research. Partial least square-based structural equation modelling has been used to analyze the data. Findings Study results suggest that the psychometric properties of the SCRE dimensions, supply chain readiness, response and recovery, are reliable and valid. It also affirms that supply chain orientation (SCO), learning and development and supply chain risk management culture (SCRMC) significantly influence the SCRE. Further, SCRMC mediates the relationship between SCO and SCRE. Practical implications The findings of this study will assist the supply chain managers in taking decision on readiness capability development and reducing the decisional uncertainty during response and recovery. Originality/value Drawing on extensive extant literature on crisis management and supply chain management, this study develops and validates the measurement dimensions of SCRE in terms of readiness, response and recovery, as well as justifies the antecedent factors of SCRE, which is a novel attempt in SCRM literature.

scholarly journals Managing cyber and information risks in supply chains: insights from an exploratory analysis

2019 ◽  
Vol 24 (2) ◽  
pp. 215-240 ◽  
Author(s):  
Claudia Colicchia ◽  
Alessandro Creazza ◽  
David A. Menachof
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Supply Chains ◽  
Holistic Approach ◽  
Comparative Case Study ◽  
Supply Chain Network ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Content Type ◽  
Information Risk

Purpose The purpose of this paper is to explore how companies approach the management of cyber and information risks in their supply chain, what initiatives they adopt to this aim, and to what extent along the supply chain. In fact, the increasing level of connectivity is transforming supply chains, and it creates new opportunities but also new risks in the cyber space. Hence, cyber supply chain risk management (CSCRM) is emerging as a new management construct. The ultimate aim is to help organizations in understanding and improving the CSCRM process and cyber resilience in their supply chains. Design/methodology/approach This research relied on a qualitative approach based on a comparative case study analysis involving five large multinational companies with headquarters, or branches, in the UK. Findings Results highlight the importance for CSCRM to shift the viewpoint from the traditional focus on companies’ internal information technology (IT) infrastructure, able to “firewall themselves” only, to the whole supply chain with a cross-functional approach; initiatives for CSCRM are mainly adopted to “respond” and “recover” without a well-rounded approach to supply chain resilience for a long-term capacity to adapt to changes according to an evolutionary approach. Initiatives are adopted at a firm/dyadic level, and a network perspective is missing. Research limitations/implications This paper extends the current theory on cyber and information risks in supply chains, as a combination of supply chain risk management and resilience, and information risk management. It provides an analysis and classification of cyber and information risks, sources of risks and initiatives to managing them according to a supply chain perspective, along with an investigation of their adoption across the supply chain. It also studies how the concept of resilience has been deployed in the CSCRM process by companies. By laying the first empirical foundations of the subject, this study stimulates further research on the challenges and drivers of initiatives and coordination mechanisms for CSCRM at a supply chain network level. Practical implications Results invite companies to break the “silos” of their activities in CSCRM, embracing the whole supply chain network for better resilience. The adoption of IT security initiatives should be combined with organisational ones and extended beyond the dyad. Where applicable, initiatives should be bi-directional to involve supply chain partners, remove the typical isolation in the CSCRM process and leverage the value of information. Decisions on investments in CSCRM should involve also supply chain managers according to a holistic approach. Originality/value A supply chain perspective in the existing scientific contributions is missing in the management of cyber and information risk. This is one of the first empirical studies dealing with this interdisciplinary subject, focusing on risks that are now very high in the companies’ agenda, but still overlooked. It contributes to theory on information risk because it addresses cyber and information risks in massively connected supply chains through a holistic approach that includes technology, people and processes at an extended level that goes beyond the dyad.

A systematic literature review on supply chain risk management: is healthcare management a forsaken research field?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pedro Senna ◽  
Augusto Reis ◽  
Igor Leão Santos ◽  
Ana Claudia Dias ◽  
Ormeu Coelho
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Literature Review ◽  
Supply Chains ◽  
Systematic Literature Review ◽  
Clinical Engineering ◽  
Formal Definition ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Content Type

PurposeThis paper aims to present a systematic literature review (SLR) to investigate how supply chain risk management (SCRM) is applied to the healthcare supply chains and which improvement opportunities are being missed in this segment.Design/methodology/approachThis SLR used the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) method to answer three research questions: (1) Which are the main gaps concerning healthcare supply chain risk management (HCSCRM)? (2) What is the definition of HCSCRM? and (3) What are the risk management techniques and approaches used in healthcare supply chains?FindingsThe authors present a complete summary of the HCSCRM body of research, investigating research strings like clinical engineering and high reliability organizations (HROs) and its relations with HCSCRM; (1) This research revealed the five pillars of HCSCRM; (2) The authors proposed a formal definition for HCSCRM considering all the literature blocks explored and (3) The authors generated a list of risks present in healthcare supply chains resulting from extensive article research.Research limitations/implicationsThe authors only reviewed international journal articles (published in the English language), excluding conference papers, dissertations and theses, textbooks, book chapters, unpublished articles and notes. In addition, the study did not thoroughly investigate specific countries' particularities concerning how the healthcare providers are organized.Originality/valueThe contribution of this article is threefold: (1) To the best of authors knowledge, there is no other SLR about HCSCRM published in the scientific literature by the time of realization of authors’ work, suggesting that is the first effort to fulfill this research gap; (2) Following the previous contribution, in this work the authors propose a first formal definition for HCSCRM and (3) The authors analyzed concepts such as clinical engineering and HROs to establish the building blocks of HCSCRM.

A critical analysis of supply chain risk management content: a structured literature review

2017 ◽  
Vol 14 (1) ◽  
pp. 69-90 ◽  
Author(s):  
Surya Prakash ◽  
Gunjan Soni ◽  
Ajay Pal Singh Rathore
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Literature Review ◽  
Critical Analysis ◽  
Future Research ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Marked Rise ◽  
Content Type ◽  
Risk Management Process

Purpose The research on supply chain risk management (SCRM) is visibly on the rise, although its literature still lacks the state of the art that critically analyzes its content. The SCRM literature seems to require studies that utilize risk typology, sources of risk, etc. for reviewing the topic. The purpose of this paper is to bridge the gap by synthesizing the information obtained from 343 articles across 85 journals. This study also presents a critical analysis of the content of SCRM in a structured manner to identify the directions for future research. Design/methodology/approach A systematic literature review (SLR) was devised and adopted, which involved the selection, classification, and evaluation of 343 research articles published over a period of 11 years (2004-2014). The content of extant SCRM literature was critically analyzed and synthesized from the perspective of the risk management process (RMP). Findings The analysis of extant literature shows that there is a marked rise in research in the SCRM area, especially after the year 2005. It was observed that not only risk but also different forms of uncertainties make supply chain (SC) operations difficult to manage. The SCRM actions yielded most benefits when their implementation was at chain or network level and managed strategically. The analysis also reveals that the manufacturing sector is most affected by risks and highly investigated by researchers. Practical implications A complete process for SCRM based on risk stratification, objectives of risk management, and RMP will be a guiding model for firms to manage risks. The research gaps identified and future directions provided here will encourage researchers and managers to devise new methods, tools, and techniques to address the risks in modern SC operations. Originality/value An SLR and risk-based content classification of SCRM literature were performed. To identify, locate, select, and analyze the SCRM literature, a structured and systematic process was adopted with some very rarely used methods such as two levels of search keywords, and strings were formulated to locate the most relevant articles in major academic databases.

The application of Lean Six Sigma and supply chain resilience in maritime industry during the era of COVID-19

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yugowati Praharsi ◽  
Mohammad Abu Jami’in ◽  
Gaguk Suhardjito ◽  
Hui Ming Wee
Keyword(s):  
Supply Chain ◽  
Continuous Improvement ◽  
Six Sigma ◽  
Business Processes ◽  
Lean Six Sigma ◽  
Maritime Industry ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Control Approach ◽  
Logistics Services

Purpose This study aims to apply a Lean Six Sigma framework to support continuous improvement in the maritime industry (shipbuilding, logistics services and shipping companies) during COVID-19 pandemics. By applying the concepts of Lean Six Sigma and supply chain resilience, the most suitable continuous improvement method for the maritime industry is developed to maintain a resilient supply chain during COVID-19. Design/methodology/approach A specific shipbuilding, logistics services and shipping company in Indonesia is chosen as the research object. The Lean Six Sigma framework reveals the wastes through the supply chain resilience concept, and implements internal business processes to maintain optimal system performance. Findings The paper identifies important implementation aspects in applying Lean Six Sigma to shipbuilding, logistics services and shipping. The DMAIC (define, measure, analyze, improve and control) approach is applied to achieve supply chain resilience. Resilient measures are generated for the case companies to maximize performance during the pandemics. Practical implications This paper provides a new insight for integrating Lean Six Sigma and resilience strategies in the maritime industry during COVID-19 disruptions. The authors provide some insights to sustain the performance of the maritime industries under study. Originality/value This study is part of the first research in the maritime industry that focuses on continuous improvement during COVID-19 using Lean Six Sigma and supply chain resilience.

The role of big data analytics capabilities in bolstering supply chain resilience and firm performance: a dynamic capability view

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohamad Bahrami ◽  
Sajjad Shokouhyar
Keyword(s):  
Risk Management ◽  
Big Data ◽  
Supply Chain ◽  
Firm Performance ◽  
Data Analytics ◽  
Big Data Analytics ◽  
Content Type ◽  
Supply Chain Resilience ◽  
Management Culture

PurposeBig data analytics capability (BDAC) can affect firm performance in several ways. The purpose of this paper is to understand how BDA capabilities affect firm performance through supply chain resilience in the presence of the risk management culture.Design/methodology/approachThe study adopted a cross-sectional approach to collect survey-based responses to examine the hypotheses. 167 responses were collected and analyzed using partial least squares in SmartPLS3. The respondents were generally senior IT executives with education and experience in data and business analytics.FindingsThe results show that BDA capabilities increase supply chain resilience as a mediator by enhancing innovative capabilities and information quality, ultimately leading to improved firm performance. In addition, the relationship between supply chain resilience and firm performance is influenced by risk management culture as a moderator.Originality/valueThe present study contributes to the relevant literature by demonstrating the mediating role of supply chain resilience between the BDA capabilities relationship and firm performance. In this context, some theoretical and managerial implications are proposed and discussed.

Strategic action grids: a study on supply chain risk management in manufacturing industries in India

2018 ◽  
Vol 25 (8) ◽  
pp. 3045-3061 ◽  
Author(s):  
V. Viswanath Shenoi ◽  
T.N. Srikantha Dath ◽  
C. Rajendran ◽  
P. Shahabudeen
Keyword(s):  
Risk Management ◽  
Supply Chain ◽  
Mitigation Strategies ◽  
Manufacturing Industries ◽  
Supply Chain Risk Management ◽  
Supply Chain Risk ◽  
Strategic Action ◽  
Content Type ◽  
The Mean ◽  
Robust Supply Chain

Purpose The purpose of this paper is to provide strategic recommendations to supply chain managers of Indian manufacturing industries for a robust supply chain related to risk management by original equipment manufacturers (OEMs) and suppliers in manufacturing industries to ensure a robust supply chain risk management (SCRM). Design/methodology/approach Importance-performance analysis (IPA) is utilized to identify and provide strategic recommendations to manufacturing industries for improving their supply chain performance by attaching due importance to risk constructs and appropriately choosing mitigation strategies. Findings The investigation using the strategic action grids reveals that most of the means of risks are near the point of intersection of the grand means of the risk constructs and their impact on the supply chain, indicating that all the risks have the equal likelihood of occurrence. The mean importance of risk monitoring, risk avoidance (RA) and risk sharing surpass the mean performance for both OEMs and suppliers. Research limitations/implications The study is executed with following limitations: the study assumes that the manufacturing industries across different sectors perceive similar risk. The sectors considered are automotive, heavy engineering, general engineering and home appliances. The Southern States of India are considered because of the dominant presence of many industries, especially automotive industries. However, it should be noted that these States form the manufacturing hubs where the lead organizations are functioning along with their major suppliers. Practical implications By understanding the importance of SCRM dimensions and utilization of these dimensions, firms can mitigate the impact of risk on the supply chain. The detailed study of SCRM strategies highlights the importance attached to risk factors, mitigation strategies, and top management commitment. By the implementation of SCRM strategies, supply chain managers can improve the firm’s performance. Originality/value The study involves empirically validated data on SCRM dimensions. The IPA is performed on the SCRM dimensions to investigate the importance attached to the factors of the dimensions and their performance.

Lean Six Sigma strategy in telecom manufacturing

2014 ◽  
Vol 114 (6) ◽  
pp. 904-921 ◽  
Author(s):  
Roy Andersson ◽  
Per Hilletofth ◽  
Peter Manfredsson ◽  
Olli-Pekka Hilmola
Keyword(s):  
Supply Chain ◽  
Six Sigma ◽  
Single Case ◽  
Lean Six Sigma ◽  
Content Type ◽  
Strategic Emphasis ◽  
Company Culture ◽  
Difficult Times ◽  
Practical Implications

Purpose – The purpose of this paper is to elaborate, how the use of a joint-use strategy of Lean and Six Sigma can improve flexibility, robustness, and agility. Telecom manufacturing has been under tremendous change after dot.com bubble burst in the early 2000, and new competition has originated from Asia. Being successful requires now more than before, and joint-use of strategies is one option to survive. Design/methodology/approach – A single case study from a Swedish company operating in the telecom manufacturing was conducted. In particular, a Six Sigma project was followed and analyzed during 2002. However, the outcome of the Six Sigma project has been studied in longitudinal manner until 2014. Findings – The Lean Six Sigma strategy ensures flexible, robust, and efficient processes. However, to make them more agile in order to sustain in today's highly competitive environment, something more is required. This could include staff training, strengthening company culture and collaborating with key partners in the supply chain. Research limitations/implications – This study is limited to large company that usually has a lot of resources and choices where to put the strategic emphasis as well as has level of control of the supply chain operations. The situation could be very different in small and medium-sized companies and thus it may be more difficult to realize the Lean Six Sigma strategy in such environment. On the other hand, the processes in these companies are often less complex. Practical implications – This research provides guidance on how to manage the Lean Six Sigma strategy in order to ensure more flexible, robust, and efficient processes as well as how to perform a Six Sigma project in Lean environment, in a proper manner. Originality/value – This research provides guidance to companies regarding the applicability and properties of the Lean Six Sigma strategy. The paper will also serve as a basis for other companies and industries, on how to survive in difficult times.

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