Supply Chain Management of Road Projects in India using FMEA and ISM Technique

Abstract

This paper aims to study about the risks that affect the supply chain management of the road infrastructure projects. Supply chain management identifies the issues that slow down the process of road construction and helps in reconfiguration and re-engineering of supply chain. Methodology: A thorough literature review has been conducted to identify the major factors that cause delay in the completion of the road projects. After analysis of reviewed literature a questionnaire survey was prepared. The gathered data was analyzed and top ten risk factors having highest Risk Priority Number (RPN) were identified from Failure Mode and Effect Analysis technique (FMEA). The relationship between the various risks factors has been identified by the interpretive structural modeling (ISM). Findings: The findings of the study indicate that there are several risks that create a gap between planned completion time and actual completion time of the road projects. The delay in the road projects lead to several risks such as cost overrun, legal issues, contract termination and many others. Application: Roads are the lifeline of a Country and its timely development plays a very important role in the Development of the Nation. This study will enable various parties involved to understand and mitigate the risks in a n effective manner.Keywords: Failure Mode and Effect Analysis Technique (FMEA), Interpretive Structural Modeling (ISM), Risk Priority Number (RPN), Risks, Supply Chain Management1. IntroductionRoads are important for the overall social and economic development of any region. Around 65% of freight 180% of the passenger traffic is carried by the road sector. The roads directly or indirectly affect industrial loca-tion, housing markets, land prices, internal trade and many other things. The Indian road network is about 33 lakh kilometres which majorly consists of expressways, national highways, major district roads, state highways and rural and other roads. Time, cost and quality are very important for any road project. However, it has been observed that most road projects in India have been completed with additional time, money as well as resources. The main objectives of the study have been the identification of the factors involved in the completion of the road projects in India. The major impact due to delay in road projects leads to the increase in project cost by several crores. Therefore it becomes important to identify the factors which are causing the delay in the completion of road projects and take necessary steps to rectify such problems. The thorough study of literature, case studies and project reports gave an insight to various risks which delay the construction of roadsThe objective of the study was prioritizing the fac-tors by finding Risk priority number by Failure Mode