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Risk Mitigation in Automotive Supply Chain: An Empirical Exploration of Enablers to Implement Supply Chain Risk Management

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  • Satyendra Kumar Sharma
  • Anil Bhat

Abstract

Supply chain (SC) risk management (SCRM) is a high-level concern for SC professionals. Supply chain risk management implementation is a difficult task because it requires involvement of various firms across the SC. For effective SCRM implementation, managers need to know the enabling factors and their relative importance. In this research, an empirical study on SC risk mitigation enablers was carried out in Indian automotive industry to examine the relationship between SCRM enablers and SCRM implementation. This relationship was tested using discriminant analysis. The research shows that the most important enabler is information visibility and it is followed by incentives alignment. Contingency planning is the third-most important enabler and last is risk management governance (RMG). Success of the SCRM implementation in terms of its efficiency and effectiveness can be assured by following the sequence of SCRM enablers suggested in this research.

Suggested Citation

  • Satyendra Kumar Sharma & Anil Bhat, 2016. "Risk Mitigation in Automotive Supply Chain: An Empirical Exploration of Enablers to Implement Supply Chain Risk Management," Global Business Review, International Management Institute, vol. 17(4), pages 790-805, August.
    • Handle: RePEc:sae:globus:v:17:y:2016:i:4:p:790-805
    DOI: 10.1177/0972150916645678
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    References listed on IDEAS

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    2. Kampstra, R.P. & Ashayeri, J. & Gattorna, J., 2006. "Realities of Supply Chain Collaboration," Other publications TiSEM d3f62a32-db8b-43d2-b44f-9, Tilburg University, School of Economics and Management.
    3. Tang, Christopher & Tomlin, Brian, 2008. "The power of flexibility for mitigating supply chain risks," International Journal of Production Economics, Elsevier, vol. 116(1), pages 12-27, November.
    4. Kampstra, R.P. & Ashayeri, J. & Gattorna, J., 2006. "Realities of Supply Chain Collaboration," Discussion Paper 2006-59, Tilburg University, Center for Economic Research.
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    Cited by:

    1. Thi Huong Tran, 2018. "Critical factors and enablers of food quality and safety compliance risk management in the Vietnamese seafood supply chain," Papers 1805.12109, arXiv.org.

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