http://scrmblog.dumke.me/taxonomy/term/185/all en http://scrmblog.dumke.me/review/risks-in-supply-chains-for-small-and-medium-sized-companies <div class="field field-name-field-thumbnail field-type-image field-label-hidden"><div class="field-items"><div class="field-item even"><img typeof="foaf:Image" src="http://scrmblog.dumke.me/sites/default/files/styles/thumbnail/public/pubthumb/2009FaisalPrioritizationOfRisksInSupplyChains.png?itok=iEEcSjsB" width="80" height="80" alt="" /></div></div></div><div class="field field-name-body field-type-text-with-summary field-label-hidden"><div class="field-items"><div class="field-item even" property="content:encoded"> <p>Large Cooperations often employ staff for supply chain planning and sometimes additional staff for supply chain risk management.</p> <p>Small / medium enterprises usually have more limited resources and therefore have to focus more. For this reason M.N. Faisal developed a prioritization of supply chain risks.</p> <h5>Basis </h5> <p>The prioritization is based on a literature review (for the basic population) and expert opinion. The expert opinion is extracted by using a fuzzy <span class="caps">AHP</span> (<a href="https://en.wikipedia.org/wiki/Analytic_Hierarchy_Process" title="en.wikipedia.org">Analytical Hierarchy Process</a>). The basic procedure is for each expert to evaluate / compare pairs of risks on a 0 to 9 scale. This method is adjusted to include the fuzzy character of most decision processes.</p> <h5>Results</h5> <p>Faisal adapts the standard supply chain components (product-, financial-, information-flow) to categorize the risks. He also adds a relational category.</p> <p>Enclosed you find the top three risks in each category:<ol><li>Physical Flow</li><ol><li>Poor Quality<br /> supplier does not meet quality standards</li><li>Capacity Inflexibility<br /> facilities provide only limited flexibility</li><li>Transportation<br /> in case of outsourced transportation</li></ol><li>Financial Flow</li><ol><li>Untimely payments</li><li>Currency flucuations</li><li>Lack of hedging<br /> eg. in case of bankruptcy of a supplier</li></ol><li>Relational aspects</li><ol><li>Reputational risk</li><li>Lack of trust and opportunism risk</li><li>Legal risks<br /> risk from litigation by stakeholders</li></ol><li>Informational flow</li><ol><li>Information security</li><li>Forecast risk</li><li>IT outsourcing risk</li></ol></ol></p></div></div></div><div class="field field-name-field-research-blogging field-type-text-long field-label-inline clearfix"><div class="field-label">Reference:&nbsp;</div><div class="field-items"><div class="field-item even"><p>Faisal, M.N. Prioritization of Risks in Supply Chains. Managing Supply Chain Risk and Vulnerability pp. 41-66</p> </div></div></div><div class="field field-name-field-user-rating field-type-fivestar field-label-above"><div class="field-label">Rate This:&nbsp;</div><div class="field-items"><div class="field-item even"><form class="fivestar-widget" action="/taxonomy/term/185/all/feed" method="post" id="fivestar-custom-widget" accept-charset="UTF-8"><div><div class="clearfix fivestar-average-stars fivestar-form-item fivestar-outline"><div class="form-item form-type-fivestar form-item-vote"> <div class="form-item form-type-select form-item-vote"> <select id="edit-vote--2" name="vote" class="form-select"><option value="-">Select rating</option><option value="20">Give Risks in Supply Chains for Small and Medium Sized Companies 1/5</option><option value="40">Give Risks in Supply Chains for Small and Medium Sized Companies 2/5</option><option value="60">Give Risks in Supply Chains for Small and Medium Sized Companies 3/5</option><option value="80">Give Risks in Supply Chains for Small and Medium Sized Companies 4/5</option><option value="100">Give Risks in Supply Chains for Small and Medium Sized Companies 5/5</option></select> </div> <div class="description">Fivestar rating field for readers to rate the content.</div> </div> </div><input class="fivestar-submit form-submit" type="submit" id="edit-fivestar-submit" name="op" value="Rate" /><input type="hidden" name="form_build_id" value="form-NNNLt_2BjJNeRzf8-cx3WzFuPOVk3l2vB3ydAFyi7zI" /> <input type="hidden" name="form_id" value="fivestar_custom_widget" /> </div></form></div></div></div><div class="field field-name-field-tags-review field-type-taxonomy-term-reference field-label-inline clearfix"><div class="field-label">Tags:&nbsp;</div><div class="field-items"><div class="field-item even"><a href="/tags/analytical-hierarchy-process" typeof="skos:Concept" property="rdfs:label skos:prefLabel" datatype="">analytical hierarchy process</a></div><div class="field-item odd"><a href="/tags/empirical" typeof="skos:Concept" property="rdfs:label skos:prefLabel" datatype="">empirical</a></div><div class="field-item even"><a href="/tags/mitigation-strategies" typeof="skos:Concept" property="rdfs:label skos:prefLabel" datatype="">mitigation strategies</a></div><div class="field-item odd"><a href="/tags/risk" typeof="skos:Concept" property="rdfs:label skos:prefLabel" datatype="">risk</a></div><div class="field-item even"><a href="/tags/risk-ranking" typeof="skos:Concept" property="rdfs:label skos:prefLabel" datatype="">risk ranking</a></div></div></div> Sat, 19 Jun 2010 14:23:00 +0000 Daniel Dumke 1553 at http://scrmblog.dumke.me