scholarly journals Risk Mitigation Strategies in Semi-Organic Rice Supply Chains: Lesson Learned from the Involved Actors

Author(s):  
Agustina Shinta Hartati Wahyuningtyas ◽  
Novi Haryati ◽  
Destyana Ellingga Pratiwi ◽  
Luisa Maliny Situmeang

Rice is the main consumption food for Indonesians. The demand for food increased from 114.6 kg per capita in 2016 to 124.89 kg in 2017. However, rice farmers and supply chain actors in rice agribusiness have experienced high challenges, such as production, transportation, price, product quality, and the environment. This research aimed to understand actors involved in the supply chain, their perception of occurring risks, and evaluation and risk mitigation in the supply chain. This was a quantitative descriptive study done purposively in Watugede Village, Singosari Sub-District, Malang Regency. Non-probability sampling was taken to gather primary data. The respondent of this research was 16 involved actors, from on-farm actors to consumers. The data were analyzed using the Fuzzy analytical hierarchy process (FAHP) to provide descriptive risk mitigation strategies. The results show that six involved actors are suppliers, farmers, grinders, traders, and buyers. Each actor faces different risks, and thus, the recommended mitigation strategies are adjusted to their risks. Sharing information, optimizing the level of supply availability, measuring supply chain performance, and building more coordination with the government are the best strategies to mitigate risks.

2020 ◽  
Vol 58 (7) ◽  
pp. 1449-1474 ◽  
Author(s):  
Hamidreza Panjehfouladgaran ◽  
Stanley Frederick W.T. Lim

PurposeReverse logistics (RL), an inseparable aspect of supply chain management, returns used products to recovery processes with the aim of reducing waste generation. Enterprises, however, seem reluctant to apply RL due to various types of risks which are perceived as posing an economic threat to businesses. This paper draws on a synthesis of supply chain and risk management literature to identify and cluster RL risk factors and to recommend risk mitigation strategies for reducing the negative impact of risks on RL implementation.Design/methodology/approachThe authors identify and cluster risk factors in RL by using risk management theory. Experts in RL and supply chain risk management validated the risk factors via a questionnaire. An unsupervised data mining method, self-organising map, is utilised to cluster RL risk factors into homogeneous categories.FindingsA total of 41 risk factors in the context of RL were identified and clustered into three different groups: strategic, tactical and operational. Risk mitigation strategies are recommended to mitigate the RL risk factors by drawing on supply chain risk management approaches.Originality/valueThis paper studies risks in RL and recommends risk management strategies to control and mitigate risk factors to implement RL successfully.


2015 ◽  
Vol 26 (3) ◽  
pp. 642-656 ◽  
Author(s):  
Woojung Chang ◽  
Alexander E. Ellinger ◽  
Jennifer Blackhurst

Purpose – As global supply networks proliferate, the strategic significance of supply chain risk management (SCRM) – defined as the identification, evaluation, and management of supply chain-related risks to reduce overall supply chain vulnerability – also increases. Yet, despite consistent evidence that firm performance is enhanced by appropriate fit between strategy and context, extant SCRM research focusses more on identifying sources of supply chain risk, types of SCRM strategy, and performance implications associated with SCRM than on the relative efficacy of alternative primary supply chain risk mitigation strategies in different risk contexts. Drawing on contingency theory, a conceptual framework is proposed that aligns well-established aspects of SCRM to present a rubric for matching primary alternative supply chain risk mitigation strategies (redundancy and flexibility) with particular risk contexts (severity and probability of risk occurrence). The paper aims to discuss these issues. Design/methodology/approach – Conceptual paper. Findings – The proposed framework addresses supply chain managers’ need for a basic rubric to help them choose and implement risk mitigation approaches. The framework may also prove helpful for introducing business students to the fundamentals of SCRM. Originality/value – The framework and associated research propositions provide a theoretically grounded basis for managing the firm’s portfolio of potential supply chain risks by applying appropriate primary risk mitigation strategies based on the specific context of each risk rather than taking a “one size fits all” approach to risk mitigation. An agenda for progressing research on contingency-based approaches to SCRM is also presented.


Author(s):  
Marianne Jahre

Purpose The purpose of this paper is to link humanitarian logistics (HL) and supply chain risk management (SCRM) to provide an understanding of risk mitigation strategies that humanitarian organisations use, or could use, to improve their logistics preparedness. Design/methodology/approach Based on systematic reviews of RMS in SCRM and supply chain strategies (SCS) in HL literature, a framework is developed and used to review published case studies in HL. Findings The study finds that humanitarian actors use a number of the strategies proposed in the framework, particularly those related to strategic stocks, postponement, and collaboration. Strategies related to sourcing and procurement, however, especially those on supplier relationships, seem to be lacking in both research and practice. Research limitations/implications The study is based on secondary data and could be further developed through case studies based on primary data. Future studies should explore the generalisability of the findings. Practical implications Practitioners can use the framework to identify potential new SCS and how strategies can be combined. Findings can help them to understand the abnormal risks of main concern, how they may impact normal risks, and provide ideas on how to tackle trade-offs between different risks. Social implications The results can support improvements in humanitarian supply chains, which will provide affected people with rapid, cost-efficient, and better-adapted responses. Originality/value The paper connects SCRM and HL to develop a framework and suggests propositions on how humanitarian actors can mitigate supply chain risks. Questioning the focus on strategic stock it suggests complementary or alternative strategies for improving logistics preparedness.


2018 ◽  
Vol 9 (1) ◽  
pp. 60-79 ◽  
Author(s):  
Ujang Maman ◽  
Akhmad Mahbubi ◽  
Ferry Jie

Purpose This study aims to identify halal risk events, halal risk agents, measure halal risk level and formulate the halal risk control model (mitigation) in all stages in the beef supply chain from Australia to Indonesia. Design/methodology/approach This research combines qualitative and quantitative method. It elaborates nine variables as the Halal Control Point: halal animal, animal welfare, stunning, knife, slaughter person, slaughter method, invocation, packaging, labeling and halal meat. This study uses house of risk, a model for proactive supply chain risk. Findings The main mitigation strategies to guarantee the halal beef status in the abattoir is the obligation of vendor or the factory to issue a written manual of stunning tool. The priority of halal risk mitigation strategies for the retailing to avoid the meat contamination is the need of a halal policy for transporter’s companies and supermarkets. Research limitations/implications Every actor must be strongly committed to the application of halal risk mitigation strategies and every chain must be implemented in the halal assurance system. Originality/value This model will be a good reference for halal meat auditing and reference for halal meat import procurement policy.


2018 ◽  
Vol 3 (4) ◽  
Author(s):  
Yohandes Rabiqy ◽  
Radike Radike

This Research aimed to identify, determine and formulate the mitigation strategies of shallot supply chain risk using Fuzzy FMEA and AHP. Risk identification was performed on shallot supply chain actors include farmers (suppliers), tengkulak (distributors) and pengecer (retailers). Fuzzy FMEA was used as a tool to measure the risks identified priorities. AHP was used as a tool for determining the weighting strategies in supply chain risk mitigation strategies. Research showed that there were some risks identified on the perpetrators of the supply chain in terms of supply and demand. Risk priorities for supply chain farmers (suppliers) were risks associated with government policies that were policies related to shallot imports, the risk priority of middlemen (distributors) supply chain was risks associated with shallot imports competition, and the risk priority of retailers supply chain was a risk for competitor with other retailers. There were six alternative mitigation strategies, and the highest priority was choosing the right varieties, followed by a partnership, improve the promotion, maintain quality, maintain price stability, and maintain supplies.Keywords: AHP, Fuzzy FMEA, Risk Management, Shallot.


Author(s):  
Sawarni Hasibuan ◽  
Hermawan Thaheer ◽  
Joko Supono ◽  
Irhamni Irhamni

The beverage industry is one of the leading national industries with high growth and a very tight level of competition. The risk supply chain management approach is one of the driving factors for the sustainability of the industrial supply chain. The purpose of this study is to analyze the risk supply chain management to support the sustainability of the beverage industry supply chain in the case of fruit juice beverage products. The data used in this study consisted of primary data and secondary data. Primary data obtained from distributing questionnaires, interviews and field observations. The respondents of this research are the beverage industry supply chain stakeholders. This research combines qualitative and semi-quantitative approaches. Qualitative analysis is conducted to describe activities and risks in the beverage industry supply chain. Risk analysis is carried out using a semi-quantitative approach. The risk evaluation in the supply chain of the fruit juice beverage industry combines the SCOR-FMEA method. The risks that are classified as High and Priority are then analyzed by using the Fishbone Diagram as a reference for formulating risk mitigation strategies for the sustainability of the supply chain for the juice beverage industry.


Author(s):  
Dario Messina ◽  
Cláudio Santos ◽  
António Lucas Soares ◽  
Ana Cristina Barros

The emergence of complex supply chains is one of the most important consequences of globalization. The management of these supply chains requires increased efforts by organizations that, on one hand, are increasingly pressured by customers in terms of service levels, on the other hand, must manage their suppliers from various locations and with different local requirements. In this context, an appropriate management of information flows is needed to create the adequate visibility level for managing supply chain risk. This chapter presents an overview on the concepts of risk management, visibility and information management in supply chains. This study proposes a conceptual framework for the selection of risk mitigation strategies in the supply chain and characterizes the external and internal information flows decision makers need to implement two categories of risk mitigation strategies: redundancy and flexibility.


Author(s):  
Ehsan Nikbakhsh

During the past two decades, environments surrounding supply chains (SC) have faced many changes, which require SC managers to deal proactively with unknown situations and new risks. Therefore, one of the most important issues in supply chain management is managing uncertainties of a SC and mitigating negative effects of SC risks. In this chapter, an overview of supply chain risk management (SCRM) is given. First, fundamental concepts in SCRM are introduced. Next, sources of SC risks, SCRM and its process, and some robust SC risk mitigation strategies are introduced. Finally, an introduction to several mathematical models for SCRM is given.


2020 ◽  
Vol 13 (1) ◽  
pp. 179
Author(s):  
Tedy Wachyudi ◽  
Arief Daryanto ◽  
Machfud Machfud ◽  
Yandra Arkeman

Purpose: The purpose of this case study is to develop and framework supply chain characteristics and risk mitigation strategies in the context of biodiesel downstream supply chain.Design/methodology/approach: This study employs an expert interview-based approach as a qualitative approach with a multi-perspectives view.Findings: There are vary strategies among perspectives, such as perspectives of organization and business types, stakeholder types, times and methods. These also shows that business strategy of collaborative, coordinative, and cooperative arise as alternative strategies for each perspective and each level of stakeholder. Those business strategies may apply in a vary operation strategies which linking through an energy security framework element as company’s competitive priorities.Research limitations/implications: The research scope includes only a certain area of the country’s territory and the target company’s supply chain areas of activity. The research method includes only internal stakeholders and experts as respondents and data sources. The level of analysis was only at corporate level in the corporate case study context. The research also targets only a downstream activities of biodiesel supply chain context. The interview-based approach as a qualitative approach faces some subjectivity challenges among respondents.Practical implications: The research result provides some positive implications for business practice, includes how to minimize the impact of supply chain risk on company’s business activities and performance, how supply chain experts and practitioners used risk mitigation practices, how to formulate strategic plans to minimize the impact of supply chain risk and enhance the effectivity and sustainability of the supply chain activities.Social implications: The implication for business practice was that company’s leaders implemented supply chain risk mitigation strategies that provide positive impacts on the more valuable relationship among supply chain actors and stakeholders.Originality/value: The first, is an activities areas and operation schemes-based of biodiesel supply chain point of view. The second, is a multi-perspectives-based biodiesel supply chain characteristics framework. The third, is an energy security framework-based biodiesel risk mitigation strategies framework.


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