Supply chain resilient

Throughout the economic downturn, companies one by one gained a deeper understanding that the reliable supply chain was not sufficient. As a result, the demand-driven concepts gained greater adoption in the building of a resilient supply chain. 

Christopher, M., Peck, H. (2004). Building the resilient supply chain. International Journal of Logistics Management, 15(2), 1. 

Resilient supply chains may not be the lowest-cost supply chains but they are more capable of coping with the uncertain business environment. Resilient supply chains have a number of characteristics, of which the most important is a business-wide recognition of where the supply chain is at its most vulnerable. Managing the critical nodes and links of a supply chain, to be discussed further in Chapter 10, becomes a key priority. Sometimes these critical paths may be where there is dependence on a single supplier, or a supplier with long replenishment lead times, or a bottleneck in a process. 

Other characteristics of resilient supply chains are their recognition of the importance of strategic inventory and the selective use of spare capacity to cope with... 

Source Cranfield School of Management, Creating Resilient Supply Chains, Report on behalf of the Department for Transport, 2002... 

Given the complexity of most supply networks, how can risk be better managed upstream and downstream of the focal firm Ideally, if each entity in a network took responsibility for implementing risk management procedures of the type advocated here with their immediate first tier suppliers and customers then a far more resilient supply chain would emerge. 

Multi-Criteria Model for Resilient Supply Chain.55... 

Chapter 7 incorporates disruption risk in a supply chain network design model. Supply chain network design decisions that determine the number and location of facilities and the selection of transportation modes have a significant impact on competitive performance. However, facilities and transportation links are susceptible to disruptions. In addition, they have different capacities to cope with those disruptions, which contribute to supply chain resilience. This chapter provides a framework to quantify the risk level of supply chain nodes and links. Then, a multiple objective optimization model is presented for designing a resilient supply chain network, with an emphasis on balancing the cost, responsiveness, and risk of the supply chain. 

Peck, H. (2003) Creating Resilient Supply Chains a practical guide, and Understanding Supply Chain Risk a self-assessment work book. Available for free download, courtesy of the UK Department for Transport, at www.som.cranfield.ac.uk/som/scr. van Hoek, R.l. (1998) Reconfiguring the supply chain to implement postponed manufacturing, International Journal of Logistics Management, Vol. 9, No. 1, pp. 95-110. 

Melnyk, Steven A., David J. Closs, Stanley E. Griffis, Christopher W. Zobel, and John R. Macdonald. Understanding Supply Chain Resilience. Supply Chain Management Review (January/February 2014) 34-41. 

Rice and Caniato (2003) discussed the emerging expectations with respect to supply chain security when they described the need for creating both secure supply chains (e.g., supply chains that maintain advanced security processes/procedures) and resilient supply chains (e.g., supply chains that are able to react quickly and restore operations when unexpected sruptions occur). Given the widespread nature of the food supply chain, creating both a secure supply chain as well as a resilient supply chain is of utmost importance. 

These security competencies culminate in improved overall supply chain security as presented in Fig. 18.1. Based on the literature review conducted as part of this research as well as the results of the in-depth interviews, it is clear that some firms are more advanced in their security efforts than others. There is a continuum of security initiatives and preparedness. As discussed by Rice and Caniato (2003), security competencies exist at four levels (1) basic - where fundamental security and preparedness activities exist (2) reactive - where a greater awareness exists with respect to security vulnerabilities (3) proactive -where security and resilience practices beyond the norm are adopted and (4) advanced - where a firm exists as a leader in progressive secnrity initiatives and creates a highly resilient supply chain. Given that security is an emerging field, it is not surprising that Rice and Caniato (2003) report few companies have reached the advanced level. 

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