Risks in Supply Chain Management and its Mitigation

Abstract

Supply chain risks, vulnerabilities, complexity and uncertainties have emerged as key challenges to supply chain management. Supply chain risk management assumes importance in making the organizations understand that their risk sensitivity is dependent on other constituents of their supply chain. These risks are prone to disruptions, Forecast inaccuracies, breakdowns, economic and political changes, and disasters leading to higher risks and making supply chain management difficult. The present study categorized and refined the supply chain risks sources and its mitigation strategies for dealing with these risks. Fuzzy Analytical hierarchical process was utilized to determine the relative weights of risks which are subsequently used to rank the risk on the basis of their impact on supply chain. Understanding the priorities would help the firm to accord importance and develop suitable strategies to manage supply chain risks.