Essays on Risk Mitigation Methods in Global Supply Chain Management
type: CreativeWork
description: In this dissertation, we study risk mitigation methods in the area of global supply chain management. Recent economic uncertainties such as the U.S. credit and the Greek debt crises, and natural disasters such as the Japanese tsunami create a greater amount of uncertainty and risk for global supply chain operations. The goal of the dissertation is to develop new prescriptive policies for multinational corporations and global relief organizations in order to assist them in mitigating the risks present in their operating environment in an effective manner. The first essay of the dissertation investigates how a multinational corporation can effectively hedge against the exchange-rate risk by structuring and managing a supply chain in a global setting. Economic uncertainties such as the U.S. credit crises and the debt concerns in southern European countries (e.g., Greece, Italy, Portugal and Spain) call for new policies in order to operate under an increased level of uncertainty. For example, even though the Japanese Yen and the US Dollar are considered to be more stable currencies, they have exhibit significant fluctuations in recent times, putting the US Dollar at its record low against the Yen on October 24, 2011, since the Great Depression. Naturally, such exchange rate fluctuations increase the need to develop new risk mitigation policies that would assist global corporations in managing the fluctuations in their global revenues and profits. This essay provides multinational corporations with prescriptions for ways to cope with the increased amount of global economic uncertainty. It demonstrates that production hedging, defined as producing and supplying less than the firm's total global demand, can be an effective policy in minimizing the negative implications of the exchange-rate risk while maximizing global profits. The second essay of the dissertation examines how a global relief organization can effectively hedge against the risk of demand uncertainty in its d…
abstract: In this dissertation, we study risk mitigation methods in the area of global supply chain management. Recent economic uncertainties such as the U.S. credit and the Greek debt crises, and natural disasters such as the Japanese tsunami create a greater amount of uncertainty and risk for global supply chain operations. The goal of the dissertation is to develop new prescriptive policies for multinational corporations and global relief organizations in order to assist them in mitigating the risks present in their operating environment in an effective manner. The first essay of the dissertation investigates how a multinational corporation can effectively hedge against the exchange-rate risk by structuring and managing a supply chain in a global setting. Economic uncertainties such as the U.S. credit crises and the debt concerns in southern European countries (e.g., Greece, Italy, Portugal and Spain) call for new policies in order to operate under an increased level of uncertainty. For example, even though the Japanese Yen and the US Dollar are considered to be more stable currencies, they have exhibit significant fluctuations in recent times, putting the US Dollar at its record low against the Yen on October 24, 2011, since the Great Depression. Naturally, such exchange rate fluctuations increase the need to develop new risk mitigation policies that would assist global corporations in managing the fluctuations in their global revenues and profits. This essay provides multinational corporations with prescriptions for ways to cope with the increased amount of global economic uncertainty. It demonstrates that production hedging, defined as producing and supplying less than the firm's total global demand, can be an effective policy in minimizing the negative implications of the exchange-rate risk while maximizing global profits. The second essay of the dissertation examines how a global relief organization can effectively hedge against the risk of demand uncertainty in its d…
author: Park, John Hyung Il
keywords: Demand Uncertainty, Exchange Rate Uncertainty, Global Supply Chain Management, Humanitarian Supply Chain Management, Operations Management, Pricing, Business
date published: 2012-08-01T07:00:00Z
date modified: 2026-07-24T04:54:17Z
provider: Syracuse University
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: Syracuse University