AN EMPIRICAL ANALYSIS OF THE INFLUENCE OF RISK FACTORS ON THE FREQUENCY AND IMPACT OF SEVERE EVENTS ON THE SUPPLY CHAIN IN THE CZECH REPUBLIC
Article Sidebar
Vol. 18 No. 2 (2014)
November 7, 2014
December 18, 2014
Abstract
Purpose: This paper is focused on an analysis and evaluation of severe events according to their frequency of occurrence and their impact on the company's manufacturing and distribution supply chains performance in the Czech Republic. Risk factors are introduced for critical events.
Design/methodology: An identification and classification of severe events are realized on the basis of median mapping and mapping of ordinal variability acquired through the questionnaire survey of 82 companies. Analysis of 46 risk factors was sorted into 5 groups. We used asymmetric Somers's d statistics for testing the dependence of frequency and impact of a severe event on selected risk sources. The hierarchical cluster analysis is performed to identify relatively homogeneous groups of critical severe events according to their dependency on risk factors and its strength.
Findings: Results showed that ‘a lack of contracts’ is considered to be the most critical severe event. Groups of demand and supply side and an external risk factor group were identified to be the most significant sources of risk factors. The worst cluster encompasses 11% of examined risk factors which should be prevented. We concluded that organizations need to adopt appropriate precautions and risk management methods in logistics.
Originality: In this paper, the methodology for severe events evaluation in supply chain is designed. This methodology involves assessing the critical factors which influence the critical events and which should be prevented.
References
Anderberg, M. R., 1973. Cluster analysis for applications, New York: Academic Press.
Basl, J. and Doucek, P., 2013. ICT and innovations in context of the sustainable development. In: 21st Interdisciplinary Information Management Talks: Information Technology Human Values,
Innovation and Economy IDIMT 2013. Prague, Czech Republic, Sept. 11-13 September 2013. Linz : Trauner.
Blome, C. and Schoenherr, T., 2011. Supply chain risk management in financial crises - A multiple case-study approach. International Journal of Production Economics, 134(2), pp.43–57.
Council of Supply Chain Management Professionals, 2013. Supply Chain Management Terms and Glossary. [online] Available at: http://cscmp.org/sites/default/files/user_uploads/resources/downloads/glossary-2013.pdf.
Delina, R. and Drab, R., 2010. Socio-economic aspects of trust building for the electronic business platforms. E + M Ekonomie & Management, 13(4), pp. 110-122.
Dorcak, P. and Delina, R., 2011. Impact of E-marketing Services on Economic Performance. Ekonomický ?asopis, 59(1), pp. 44-58.
Hanclova, J. and et al., 2014. The Determinants of IT Adoption in SMEs in the Czech-Polish Border Areas. Information Technology for Development. [online] Available at: http://www.tandfonline.com/loi/titd20.
Hunter, L.M. and et al., 2004. A classification of business-to-business buying decisions: risk importance and probability as a framework for e-business benefits. Industrial Marketing Management, 33(2), pp.145-154.
Li, S. and Lin, B., 2006. Accessing information sparing and information quality in supply chain management. Decision Support Systems, 42(3), pp.1641-1656.
Macurová, P. et al., 2011. Rizika v logistice – poznatky z průzkumu. Littera Scripta, 4(1), pp. 41-52.
Matook, S., Lasch, R. and Tamasche, R., 2009. Supplier development with benchmarking as part of a comprehensive supplier risk management framework. International Journal of Operations & Production Management, 29(3-4), pp.241-267.
Norrman, D. and Jansson, U., 2004. Ericsson’s proactive supply chain risk management approach after a serious sub-supplier accident. International Journal of Physical Distribution & Logistics Management, 34(5), pp.434-456.
Ritchie, B. and Brindley, C., 2007. Supply chain risk management and performance: a guiding framework for future development. International Journal of Operations & Production Management, 27(3), pp.303-322.
Tang, C., 2006. Perspectives in supply chain risk management. International Journal of Production Economics, 103(2), pp.451-488.
Tang, O. and Musa S.N., 2011. Identifying risk issues and research advancements in supply chain risk management. International Journal of Production Economics, 133 (1), pp.25-34.
Trkman, P. and McCormack, K., 2009. A conceptual model for managing supply chain risk in turbulent environment. International Journal of Production Economics, 119(2), pp. 247-258.
Trkman, P., Indihar Štemberger, M., Jakli?, J. and Groznik, A., 2007. Process approach to supply chain integration. Supply Chain Management: An International Journal, 12(2), pp.116-128.
Veber, J. and et al., 2000. Management. Základy-prosperita-globalizace. Praha: Management Press.
Waters, D., 2007. Supply chain risk management: vulnerability and resilience in logistics. London: Kogan Page.
Authors
This is an open access journal which means that all content is freely available without charge to the user or his/her institution. Users are allowed to read, download, copy, distribute, print, search, or link to the full texts of the articles in this journal without asking prior permission from the publisher or the author. This is in accordance with the BOAI definition of open access. This journal is licensed under a Creative Commons Attribution 4.0 License - http://creativecommons.org/licenses/by/4.0.
Authors who publish with the Quality Innovation Prosperity agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.
