scholarly journals Risk and Supply Chain Mitigation Analysis Using House of Risk Method and Analytical Network Process (A Case Study on Palm Oil Company)

The Winners ◽  
2021 ◽  
Vol 22 (2) ◽  
Author(s):  
Shelvy Kurniawan ◽  
Denny Marzuky ◽  
Rio Ryanto ◽  
Vanny Agustine

This research studied PT XYZ, a company engaged in the palm oil industry which has eleven subsidiaries spread across five provinces in Indonesia, namely North Kalimantan, West Kalimantan, East Kalimantan, Central Kalimantan, and South Sumatra. The research focused on analyzing supply chain risks in PT A, a subsidiary of PT XYZ.. The objective was to find out and reduce unexpected costs that the company may experience caused by the risks in supply chain. Furthermore, the aim was to determine priority of risk agents and risk mitigation actions. The research method was a mixed methods, which combined both qualitative and quantitative analysis to answer the research questions. Data analysis procedure involved Supply Chain Operations Reference (SCOR), House of Risk (HOR) 1 and Analytic Network Process (ANP). The SCOR method was used for mapping supply chain activities, the HOR 1 was to determine the priority of the risk agent, and the ANP was to determine the priority of mitigation actions. The results show that there are 36 risk events and 35 risk agents. 19 risk agents are categorized as priority risks and 11 preventive actions are proposed to be implemented by PT XYZ. The research suggests that the company implement mitigation actions according to priority in accordance with the research results, for example, by improving the condition of the main garden road.

2013 ◽  
Vol 2013 ◽  
pp. 1-9 ◽  
Author(s):  
L. Hosseini ◽  
R. Tavakkoli-Moghaddam ◽  
B. Vahdani ◽  
S. M. Mousavi ◽  
R. Kia

This paper considers four types of the most prominent risks in the supply chain. Their subcriteria and relations between them and within the network are also considered. In a supply chain, risks are mostly created by fluctuations. The aim of this study is to adopt a strategy for eliminating or reducing risks in a supply chain network. Having various solutions helps the supply chain to be resilient. Therefore, five alternatives are considered, namely, total quality management (TQM), leanness, alignment, adaptability, and agility. This paper develops a new network of supply chain risks by considering the interactions between risks. Perhaps, the network elements have interacted with some or all of the factors (clusters) or subfactors. We constitute supply chain risks in the analytic network process (ANP), which attracted less attention in the previous studies. Most of the studies about making a decision in supply chains have been applied in analytic hierarchy process (AHP) network. The present study considers the ANP as a well-known multicriteria decision making (MCDM) technique to choose the best alternative, because of the interdependency and feedbacks of different levels of the network. Finally, the ANP selects TQM as the best alternative among the considered ones.


Author(s):  
Risqi Firdaus Setiawan ◽  
Pawana Nur Indah ◽  
Endang Yektiningsih

Cocoa is one of the plantation commodities whose role is quite important for the national economy of Indonesia. However, the cocoa industry faces several problems including the various risks involved in the cocoa supply chain. The aim of this study were: 1) Identifying risks in the cocoa supply chain 2) Analyzing the members of the supply chain with the highest risk 3) Evaluating and mitigating cocoa supply chain risks effectively and efficiently. An integrated analytic network process (ANP) and weighted failure mode effect analysis (WFMEA) method will be used to determine and analyze the highest risk in the cocoa supply chain. The results of the priority of the members of the value chain in the cocoa supply chain risk management are SMEs (0.43801), with the risk having the highest priority is production risk (0.29262) as well as alternative strategic priorities namely by increasing income (0.28754). The results of risk control are mainly focused on efforts to increase the income of cocoa farmers by utilizing cocoa processing byproducts such as cocoa bean pulp and cocoa pod husks. The cocoa bean pulp can be processed into nata products and cocoa juice, while the cocoa pod skin can be used as fertilizer.


2021 ◽  
Vol 20 (1) ◽  
pp. 119-130
Author(s):  
Dana Marsetiya Utama ◽  
Bianca Maharani ◽  
Ikhlasul Amallynda

Currently, companies are required to improve supply chain performance. One of the main problems in the supply chain is the proper supplier selection. Supplier selection has an essential role in improving supply chain management performance. Supplier selection requires the proper criteria. However, the relationship between criteria is rarely considered in the selection of suppliers in the textile industry. This study tries to propose integrating the Decision Making Trial and Evaluation Laboratory (DEMATEL) and the Analytic Network Process (ANP) for supplier selection in the textile industry. Both methods are multi-criteria decision making (MCDM) tools DEMATEL is used to assess the relationship between criteria. Furthermore, ANP is used to evaluate and weigh the importance of criteria and suppliers. A case study was carried out in a textile company located in Indonesia. The results show that this procedure can identify the relationship and effect of each criterion. The results show that the product price criteria are the criteria that have the most significant weight. The criteria for conformity to specifications and consistency of quality are in second and third place. Finally, suppliers are selected based on weight assessment on each criterion by ANP.


2012 ◽  
Vol 3 (3) ◽  
pp. 1-14 ◽  
Author(s):  
Fabio De Felice ◽  
Antonella Petrillo ◽  
Maria Grazia Gnoni

Green Supply Chain Management (GSCM) has becoming an imperative issue for several supply chains (SCs) due to environmental burdens defined by international legislation and to increasing costs of such a resource. The present paper proposes a decision support system aiming to evaluate more effective GSCM strategies. Thus, environmental performance of the whole supply chain, and consequently of each supplier involved, must be compared in a standardized and quantitative way. Thus, the proposed approach integrates index methods for Environmental Performance Evaluation (EPE) in developing a multi-criteria model based on the Analytic Network Process (ANP) technique. The integration overcomes criticalities of the two models. The approach has been validated in a real case study concerning the glass windscreen production supply chain.


2018 ◽  
Vol 218 ◽  
pp. 04022 ◽  
Author(s):  
Nurul Ummi ◽  
Putro Ferro Ferdinant ◽  
Ade Irman M.S ◽  
Akbar Gunawan

Supply chain risk is difficult to predict and cause losses that will affect business growth. Supply chain management is a method used for risk control by being used in the cassava industry supply chain. This objective is to determine the risks that will occur and potentially disrupt the supply chain, to determine the risk agent sequence from the Aggregate Risk Potential (ARP) score, and to determine priority mitigation actions. This study uses integration methods. (HOR), and Analytic Network Process (ANP) with pareto diagrams and method-based ratings. The SCOR method is used to map supply chain activities and classify supply chain activities. Meanwhile, the HOR method is used in identifying risk events and risk agents, as well as assessments based on the assessment of the FMEA method. The output of the HOR method is the ARP score used for the priority of the risk agent. Pareto diagrams are used in the priority of risk agents that must be immediately addressed based on the ARP score. The ANP method is used to determine the priority of mitigation actions. Based on this study, researchers obtained 21 risk events and 30 risk agents with 17 risk agents including priority risk agents and 13 non-priority risk agents, and 10 mitigation measures.


Logistics ◽  
2021 ◽  
Vol 5 (2) ◽  
pp. 22
Author(s):  
Hisham Alidrisi

This paper presents a strategic roadmap to handle the issue of resource allocation among the green supply chain management (GSCM) practices. This complex issue for supply chain stakeholders highlights the need for the application of supply chain finance (SCF). This paper proposes the five Vs of big data (value, volume, velocity, variety, and veracity) as a platform for determining the role of GSCM practices in improving SCF implementation. The fuzzy analytic network process (ANP) was employed to prioritize the five Vs by their roles in SCF. The fuzzy technique for order preference by similarity to ideal solution (TOPSIS) was then applied to evaluate GSCM practices on the basis of the five Vs. In addition, interpretive structural modeling (ISM) was used to visualize the optimum implementation of the GSCM practices. The outcome is a hybrid self-assessment model that measures the environmental maturity of SCF by the coherent application of three multicriteria decision-making techniques. The development of the Basic Readiness Index (BRI), Relative Readiness Index (RRI), and Strategic Matrix Tool (SMT) creates the potential for further improvements through the integration of the RRI scores and ISM results. This hybrid model presents a practical tool for decision-makers.


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