Developing a process for supply chain risk management

In today's competitive markets, companies look for any advantage they can build over their competitors. A number of companies recognize that supply chain excellence is an opportunity to create such an advantage. A superior supply chain provides manufacturing flexibility, fast on-time delivery, and lower cost products than those of a lesser competitor. Risk management concepts are beginning to be applied to supply chains in ever-broadening scope. Companies reliant on their supply chains now seek innovative ways to manage risk to the supply chain and ensure its smooth operation. Implementing a risk management process for the supply chain can generate long term value for a company by improving continuity of supply and component quality. By identifying risks to the supply of necessary components and then assessing the risk of each component's availability and quality, it is possible to gain a comprehensive understanding of the risk to the supply chain for a given product or product family. This understanding of the risk to the supply chain allows managers to make decisions based on the expected costs and assists them in determining the appropriate risk mitigation activities.

Department dc:contributor.department

Leaders for Manufacturing Program at MIT

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2009

Author dc:creator

• Schoerner, Daniel (Daniel Richard)

Advisor dc:contributor.advisor

• Charles G. Sodini and Roy E. Welsch.

• Sloan School of Management.
• Electrical Engineering and Computer Science.
• Leaders for Manufacturing Program.

Statement dc:rights

• M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission.

Licence dc:rights.uri

• http://dspace.mit.edu/handle/1721.1/7582

Language dc:language.iso

eng

Handle dc:identifier.uri

http://hdl.handle.net/1721.1/50093

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/50093