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Supply Chain in Small and Medium-Sized Enterprises in the Furniture Industry

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Techniques, Tools and Methodologies Applied to Global Supply Chain Ecosystems

Abstract

This chapter describes a case study of a small-sized company and proposes a working procedure that offers alternative strategies to detect, mitigate and eliminate failures that are generated in a supply chain of small and medium-sized enterprises (SMEs). An exploratory research was used to understand the SMEs processes and operations, to investigate the environment of its functioning, and to recognize its problems. A focus group methodology was also utilized to identify, quantify, and validate the areas and activities associated with failure, the operating frequencies, and the causes and effects. The Failure Mode Effects and Criticality Analysis (FMECA) tool allowed the researchers to obtain a Risk-Priority-Number (RPN) that evaluates in each failure the severity, probability of occurrences, probability of detection and economic impact. The results indicated that the delay in supply by the suppliers and the delay in payment from clients are two key aspects that affect the profitability of the company.

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Morales-Rivas, J.G., Molina-Morejón, V.M., Salas, F.G., Espitia-Mendoza, V. (2020). Supply Chain in Small and Medium-Sized Enterprises in the Furniture Industry. In: García-Alcaraz, J., Sánchez-Ramírez, C., Avelar-Sosa, L., Alor-Hernández, G. (eds) Techniques, Tools and Methodologies Applied to Global Supply Chain Ecosystems. Intelligent Systems Reference Library, vol 166. Springer, Cham. https://doi.org/10.1007/978-3-030-26488-8_7

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